China's visa-free opening turns travel into economic momentum

Editor's note: Matteo Giovannini, a special commentator on current affairs for CGTN, is a finance professional at the Industrial and Commercial Bank of China, a non-resident associate fellow at the Center for China and Globalization and a member of the Global Young Leaders Dialogue. The article reflects the author's views and not necessarily those of CGTN.

China's National Day holiday is more than a week-long period of travel and consumption. It is also a real-time test of how effectively China's growing openness to the outside world is translating into economic activity and people-to-people exchanges. The evidence is encouraging. From January to August, foreign nationals made 61.29 million trips across China's borders, up 19.5% year on year. Of these, 23.72 million entries were made under visa-free policies, up 26.8%. Visa facilitation is therefore becoming more than a matter of convenience. It is increasingly becoming part of China's broader engagement with the global economy.

The National Day travel rush provides another indication of economic vitality. China's Ministry of Transport expects about 2.13 billion cross-regional passenger trips over the seven-day holiday. Railway passenger trips reached 25.2 million on October 1, a single-day record. Operators have added services on busy routes, demonstrating the capacity of China's transport infrastructure to accommodate enormous surges in demand. This mobility also channels spending into hotels, restaurants, retail, entertainment and other local services.

Early consumption data provide further evidence of robust holiday demand. During the first three days, foot traffic and revenue at 78 major shopping streets and commercial districts monitored by the Ministry of Commerce increased 3.4% and 5.3% year on year, respectively. The government's consumer-goods trade-in program generated 19.63 billion yuan ($2.93 billion) in sales, benefiting 3.48 million consumers. These figures show that holiday consumption extends well beyond tourism alone, supporting purchases ranging from vehicles and home appliances to digital and smart devices.

For international visitors, this economic dynamism is also becoming part of the China experience. High-speed rail makes it possible to combine destinations that once required lengthy journeys, while digital payments and online platforms simplify everyday transactions. Modern airports, urban transport and extensive expressway networks allow visitors to move through a country of continental scale with relative ease. A foreign visitor who travels from Beijing to Xi’an or Shanghai to Hangzhou, eats at local restaurants and interacts with residents can develop a more tangible understanding of contemporary China. Such experience can convey something that statistics alone cannot.

The strength of tourism demand is also visible at the local level. By 3 p.m. on October 3, 200 key tourist attractions monitored across Shandong Province had received nearly 4.9 million visits and generated 270 million yuan in operating revenue, up 12.3% and 8.9%, respectively, from a year earlier. In Hainan Province, offshore duty-free purchases reached 358 million yuan during the first three days, up 8.85% year on year. Such figures show how increased mobility is translating into activity across tourism, retail and services.

This is where visa-free travel can have an impact that extends well beyond tourism. Soft power is often discussed in terms of cultural exports, international media or diplomacy. Yet one of the most powerful direct forms of international influence can be considerably simpler, that is, allowing people to see a country for themselves. Visitors who encounter China directly can form impressions based on everyday experiences rather than second-hand narratives. Greater physical access does not guarantee uniformly positive views, but it creates the possibility of a more nuanced and informed international conversation.

The economic implications are equally important. Tourism connects airlines, hotels, restaurants, retail, entertainment, transportation and cultural industries, while creating opportunities for smaller cities and businesses to participate in international exchanges. Foreign visitors can also develop relationships that extend beyond the holiday, potentially supporting future business travel, study, investment and repeat tourism. In this sense, inbound tourism complements China’s efforts to boost consumption and expand high-quality opening up.

China's experience demonstrates that facilitating international mobility requires more than simply removing visa requirements. Efficient border procedures, convenient payment systems, multilingual information, reliable transportation and accessible public services all shape the visitor experience. Visa-free policies lower the initial barrier, but infrastructure and services largely determine what happens after visitors arrive.

The National Day holiday therefore offers two parallel indicators of openness and economic activity. The enormous volume of domestic travel demonstrates the continued importance of mobility and consumption to China's economy, while the growing number of foreign visitors suggests that the country is becoming more accessible to the outside world to experience. Rising commercial sales, tourism revenues and trade-in purchases point to robust holiday demand, although the full economic picture will emerge only after the holiday.

Ultimately, sustainable economic and cultural exchange is built through repeated encounters. Visa-free policies lower the initial barrier, infrastructure makes travel possible, consumption creates economic links and personal experiences foster understanding. If China continues to turn greater cross-border mobility into more seamless visitor experiences, millions of people will not simply visit China. They will form their own impressions of its economy, society and people. In an increasingly fragmented global economy, that direct connection may prove to be one of China’s most valuable forms of openness.

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