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Thai hotels see 30% drop in Chinese tourists in Q2, occupancy rate falls to 52% in May

Thai hotels see 30% drop in Chinese tourists in Q2, occupancy rate falls to 52% in May

The Star15-05-2025
BANGKOK: Thailand's tourism sector has entered the full low season, and private businesses are increasingly concerned about the foreign tourist market. Not only are there no positive factors supporting growth, but negative influences are compounding.
According to the Ministry of Tourism and Sports, the number of foreign tourists between May 1–11 reached 851,912, while the total for Jan 1–May 11 stood at 12,948,032 — a decrease of 1.04% compared to the same period last year.
Chinese tourists still ranked first in number at 1,766,870, only 100,000 more than Malaysian tourists, who ranked second.
Thienprasit Chaiyaphatranan, President of the Thai Hotels Association (THA), reported findings from the April 2025 "Hotel Business Confidence Index" survey, conducted in collaboration with the Bank of Thailand.
The survey, conducted from April 10–28 with 139 hotel respondents, revealed that most hoteliers expect a year-on-year decline in international guests in Q2, especially in the Central and Southern regions. Around 25% of respondents expect the number of Chinese tourists to drop by more than 30%.
More than half of the hotels also anticipate a decline in the average daily room rate (ADR) compared to the same period last year, with most reducing rates by over 10%.
However, about one-quarter of hotels—particularly 4-star and above, and those in the South—have managed slight rate increases, generally not exceeding 5%.
The average hotel occupancy rate in April 2025 was 63%, down from the previous month, in line with a drop in international arrivals, especially from China.
Chinese travelLers are reportedly concerned about safety issues in Thailand.
Regionally, the occupancy rates were: North: 38.7% (down from 47.3% in March), East: 69.2% (up slightly from 67.4%), Central: 59.9% (down from 69.2%), and South: 70.8% (down from 78.5%).
The forecasted national occupancy rate for May 2025 is 52%.
Thienprasit added that tourism in April remained vibrant, largely due to the Songkran Festival, which attracted both Thai and international tourists.
However, there is rising concern about the international market due to global economic volatility, China's economic slowdown, and China's policies encouraging domestic travel.
Additionally, multiple factors have negatively affected Thailand's image among Chinese tourists, including human trafficking issues, safety concerns from recent earthquakes, and social media narratives about illegal Chinese business operations.
'At the same time, regional competitors like Vietnam and Malaysia are aggressively promoting tourism, offering incentives, cutting costs, and adjusting policies to attract more visitors,' he said.
The THA hopes that new markets can help offset the decline in Chinese tourists in May. It urges both public and private sectors to boost tourism through promotional campaigns and events. Thailand's strong tourism potential can be further enhanced by reducing restrictions, addressing weaknesses, improving service quality, and focusing on value over volume to establish Thailand as a top-choice repeat destination.
"Still, ensuring safety and service quality remains essential to attract both domestic and international tourists," Thienprasit emphasised. - The Nation/ANN
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