China and Thailand have announced a historic travel accord with a permanent “visa-free” agreement to bolster post-pandemic tourism starting March 2024.
The precursor to this development occurred in September 2023, when Thailand initially waived visa requirements for Chinese citizens, resulting in a substantial surge in tourist numbers and a boost to the economy. According to a BBC News report, 22,000 Chinese tourists visited the Southeast Asian nation within the first two days of the waiver. Originally intended to last till February 2024, the two countries have now agreed to make this arrangement permanent.
In 2023, China announced visa waivers for the citizens of Italy, the Netherlands, Spain, Malaysia, France, and Germany. Prior to this, only citizens from Spain, Brunei, and Japan could visit China visa-free, for stays lesser than 15 days.
Thailand-China visa waiver: A catalyst for tourism recovery
As Southeast Asia’s second-largest economy, Thailand heavily relies on tourism. It’s tourism sector makes for about 20 percent of the GDP, however, post the pandemic and changing traveller habits, it has been slow to catch up.
In 2023, Thailand welcomed 28 million international tourists, generating a revenue of USD 34.93 billion. The bilateral visa waiver with China is expected to strengthen diplomatic ties and further stimulate tourism.
According to a Bloomberg report, Chai Wacharonke, a Thai government spokesperson, revealed that the official bilateral agreement will be signed between the two countries towards the end of February 2024. Chinese citizens will be permitted to stay in Thailand for a maximum of 30 days per entry, and vice versa. Additionally, multiple entries within 180 days allow for an extended stay of up to 90 days.
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In response to this significant decision, Thailand has agreed to reduce excise taxes on fermented alcoholic beverages to encourage international tourist spending. The 10 percent ad valorem tax on local rice wine varieties will also be eliminated. In 2023, Thailand recorded revenue of 3.6 trillion baht (USD 34.93 billion) from 28 million international tourists. For 2024, the country anticipates a rise in tourist numbers to 35 million, with 8.2 million visa-free travellers expected from China.
Chinese visitors also constitute the second-largest group of tourists in Malaysia, closely trailing Malaysians themselves. The removal of visa requirements for Chinese citizens is anticipated to lead to a surge in visitor numbers in Malaysia as well.
(Feature Image Credit: apiguide/Shutterstock)
This article originally appeared on Travel+Leisure Asia.
Writer by day, reader by night, Yashita has a flair for all things travel, wellness and food. She has previously worked at Condé Nast India and Times Internet. When not working, you can catch her binge-reading the latest thriller on the block, re-watching Friends, trying a new recipe or hosting her friends.
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