China’s tourism industry is gradually expanding to be one of the most important aspects of the Chinese economy. Both Inbound and Outbound travel has increased by more than 33% in the past 10 years. Thousands of travel agencies are opening up their doors each year to respond to the demand of both new and experienced tourists. Absolute China Tours is the country’s top China travel agency. The agency deals with thousands of western visitors each year. They have expressed that the inbound travel industry in China has greatly progressed since they first started their operations a few years ago. Most foreign travelers are interested in visiting popular spots like the Great Wall and the Terra Cotta Warriors.

Rising middle class incomes and a pent-up demand to see the rest of the world will make China one of the most important outbound tourism markets in the coming decade. Controls on foreign travel are being gradually eased. Rising average incomes and constant exposure to other countries in the media have also contributed to the heightened demand in outbound tourism. One determining factor of this is the raise in the number of travel agencies, from 6,222 in 1998 to 11,552 in 2002. The number of Chinese going abroad for private purposes rose steadily during that time from 38.1% to 60.8%. Most expansion in travel agencies has so far been in Chinese-owned agencies, which increased from 4,910 to 10,203, while international travel agencies in China have remained at just over 1,300. Most of those travel agencies offer China travel deals during the off-season, which makes that period the best time to visit China for the tourists that prefer a less crowded traveling experience.

Chinese nationals spent more than US$15 billion on tourism abroad in 2002, and US$19.1 billion in 2004. In 2006, some 34.5 million mainland Chinese trips were taken outside of the country. China has been the number 1 source of outbound tourists in Asia since 2003, though most Chinese tourists only travel to Hong Kong and Macau.

The impact of Chinese outbound tourism is starting to be felt in Asia, with far fewer going to Europe and elsewhere. On the other hand, Chinese tourists are among the biggest spenders when they travel abroad, making them a highly desired market.

Mainland Chinese are currently able to take organized organized trips to over 100 countries that have an “Approved Destination Status”. The major omission on that list, and the one place that more Chinese want to visit than any other, is the USA. Right after the 2 governments signed a memorandum of understanding in 2007, the first organized groups began arriving in the US in June 2008. By 2020, China estimates to be able to produce 100 million outbound trips going to every corner of the world, making it the largest producer of tourists in the world.

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