Hong Kong Struggles to Attract Chinese Tourists During Golden Week Holiday

Hong Kong is facing challenges in reviving its tourism sector during the Golden Week holiday, as Chinese visitors are spending less and preferring to visit mainland cities instead. After years of COVID-19 isolation and political unrest, Hong Kong has lost its appeal for many Chinese tourists.

Local authorities had hoped for one million border crossings on May 1, 2024, but the crowds at the Lo Wu arrival hall were moderate. Visitors cited Hong Kong's high prices and lack of value for money as reasons for their reduced spending and shorter stays. "Hong Kong is too expensive, there's nothing much to buy, and nothing special compared with Shenzhen," said one tourist from Guangdong province.

Hong Kong's tourism sector, which once made up around 5% of GDP, is desperate to recover. However, industry insiders say the city is lagging behind in offering unique local attractions. Even among locals, Hong Kong's appeal is dimming, as many are opting to visit neighboring mainland cities for more affordable and enjoyable experiences.

Why this matters: Hong Kong's struggle to attract Chinese tourists during a major holiday highlights the city's ongoing challenges in reviving its economy and international appeal after years of isolation and unrest. The shift in tourist preferences and spending habits could have significant implications for Hong Kong's tourism industry and overall economic recovery.

The dwindling consumption has led to a wave of shop and restaurant closures in Hong Kong. Restaurant operators are mostly pessimistic about their prospects for the holiday, with bookings being "so-so" as visitors prefer to walk in rather than make advance reservations. The adverse weather, including heavy rain, has also deterred mainland tourists from coming in the morning.

Data shows about 207,000 people, including 151,000 residents, had left the city as of 4pm on the first day of the holiday. While some mainland visitors arrived via the West Kowloon high-speed rail terminus, the station's concourse was not overcrowded. The city is expected to welcome at least 800,000 mainland visitors during the holiday, a drop of about 10% in earnings compared to last year due to visitors' changing spending habits.

Key Takeaways

• Hong Kong struggles to attract Chinese tourists during Golden Week due to high prices and lack of appeal.
• Chinese visitors prefer to visit mainland cities, citing better value and experiences compared to Hong Kong.
• Hong Kong's tourism sector, once 5% of GDP, is desperate to recover but lags in offering unique local attractions.
• Dwindling consumption leads to shop and restaurant closures, with bookings and visitor numbers down for the holiday.
• Hong Kong expects 800,000 mainland visitors during the holiday, a 10% drop in earnings due to changing spending habits.