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Chinese tourism takes off

UPI - UPI - Monday, July 25, 2005



Date: Monday, July 25, 2005 12:25:28 PM EST By ANNE PESSALA

WASHINGTON, July 25 (UPI) -- Stimulated by new low-cost airlines, a growing middle class and loosening travel restrictions, Chinese outbound tourism may be the fastest-growing market in the industry, though visitors to the United States remain relatively few.

The China Daily newspaper said that in 2003, China overtook Japan as the largest source of outbound tourists in Asia, with 20.22 million people traveling overseas. The World Tourism Organization estimates that by 2020, China will be the fourth-largest outbound tourism source in the world.

China's overseas tourism industry is restricted to approved destinations, countries that have reached agreements with the Chinese National Tourism Administration. These destinations -- such as Australia, Japan and Europe -- address immigration and security concerns by requiring visitors to travel on tours with Chinese guides who have been licensed by the Chinese government. Visitors are usually from China's wealthiest cities -- Beijing, Shanghai and Guangdong.

The agreements are the result of lengthy negotiations between host countries and the Chinese government.

"They will think about the impact of domestic industry, the market and security...many, many issues," an official from the Chinese consulate in Chicago, speaking on condition of anonymity, told United Press International.

Li Jian Hua, first secretary to the press office of the Chinese Embassy, said travel restrictions enforced by the Chinese government were also loosening. In the past, applying for a passport required documentation from work units, background checks and other references. Now, says Li, obtaining a passport involves visiting the neighborhood public security bureau.

"Now China is an open country it's very easy, people have freedom to travel. If they can get a visa they can go everywhere," he said.

Chinese tourism began to take off when leisure travel to Hong Kong was permitted in 1983. Until 1999 when Australia became the first Western country granted approved destination status, Chinese tourism was limited to countries in Asia and the Middle East.

Malaysia, Singapore and Thailand became the first approved destinations in 1991. Southeast Asia is still one of the most popular destinations for Chinese tourists.

A study compiled by the Inbound Tourism Studies Center, an Australian market research firm, concluded Chinese tourists are drawn to shopping and gambling, activities that are inexpensive and abundant in Southeast Asian destinations.

ITSC also reports that Chinese visitors, most of whom speak limited English, have a strong demand for Mandarin-speaking local guides and often want to eat Chinese food. Southeast Asia's large Chinese population makes it easier for the region to accommodate these needs.

The United States may have an abundance of shopping, gambling and Chinese food, but strict visa requirements have kept the number of Chinese tourists relatively low. The United States does not have approved destination status.

Angela Aggeler, a spokeswoman for the Bureau of Consular Affairs at the State Department, says this is not intended to deter Chinese visitors.

"Any legitimate visitor to the U.S. is welcome," she said.

Li said obtaining a U.S. visa is easier for groups than individuals and these account for most of Chinese tourism to the United States.

But Li says there are still many bureaucratic obstacles.

"The visa problem is totally controlled by the US government," says Li. "A lot of Chinese people they want, now that they have money, they want to travel around the world" he said.

The difficulties in getting a visa to come to the United States, says Li, are driving Chinese tourists who want to see Western countries to relatively accessible Europe.

Domestic tourism is also on the rise. Two budget carriers, Okay Airlines and Spring Airlines, have started up in the past six months. These low-cost airlines keep prices low by avoiding the heavily traveled routes between Beijing, Shanghai and Guangdong.

While the recent surge in Chinese tourism is a result of China's economic liberalization, domestic tourist sites still pay homage to China's Communist heritage. This year the Chinese National Tourism Administration launched "The year of Red Tourism," a campaign promoting significant sites in the history of the Chinese Communist Party.