Instant tax refund eases shopping in China for overseas tourists

From "China Travel" to "China Shopping," international tourists are not only exploring the country's landmarks but also fueling a boom in the consumer market. The "instant tax refund" policy, which was extended nationwide on April 8, has further heightened overseas visitors' enthusiasm for spending in China.

Unlike traditional refund procedures that require travelers to claim their taxes back at the airport, the "buy and refund instantly" model allows tourists to get their refunds directly in stores. In Shanghai, one of the first pilot cities, nearly half of the city's 587 tax refund shops now support this in-store service. During the first quarter of 2025, the number of instant tax refund transactions doubled compared to the same period last year.

Many tourists have embraced the service for its speed and convenience. "Unbelievable, the whole process takes only five minutes, so the tax refund was transferred to my bank account very fast," said a traveler from Serbia. Some tourists have used the refunded cash for further shopping. "It's very convenient. I can get up to 9 percent of my tax back, giving me enough cash to continue buying to shop some more," said Belgian tourist Alex De Ceuster.

Tourists' shopping lists have also diversified. While iconic souvenirs such as plush toy pandas and tea remain popular, Chinese cultural and creative products are becoming increasingly popular with foreign travelers. Thanks to China's 240-hour visa-free transit policy, tourists have more time to shop and even book appointments to have Chinese-style outfits tailor-made.

Technology lovers are also drawn to Chinese-made electronics, such as drones. "Our consumer number has increased by 40 percent compared with the same period last year, and the business turnover has grown by 300 percent from a year ago," said Lin Ruihua, a saleswoman at a DJI store in Shenzhen.

Supported by favorable policies and a wave of innovative products, China is fast becoming a top destination not only for sightseeing, but also for immersive cultural experiences and value-driven shopping.