"Chinese Tourists Are Coming" Tourism Industry Expects Visa-Free Boom

Korean Air, Lotte Tour Development, and Daesung FineTec Draw Attention

With the government allowing visa-free entry for Chinese group tourists, the entire sectors of airlines, travel, hotels, casinos, resorts, and theme parks are expected to benefit.

According to immigration statistics released on October 3, the number of arrivals in August was 1.82 million, an increase of 16.4% compared to the same period last year. By country, China accounted for the largest number of arrivals, with 604,600 visitors.

On the morning of the 29th, the first day of visa-free entry for Chinese group tourists, Chinese group cruise tourists arriving at Incheon Port International Cruise Terminal in Yeonsu-gu, Incheon, were heading to buses. From this day until June 30 of next year, Chinese group tourists of three or more people recruited by designated domestic and international travel agencies can tour Korea visa-free for 15 days. Jeju Island maintains the previous policy of 30 days visa-free for both individual and group tourists. Yonhap News

Yang Ji-hwan, a researcher at Daishin Securities, explained, "Since the 29th of last month, visa-free entry has been allowed for Chinese group tourists of three or more people, with a maximum stay of 15 days." He added, "This policy will be implemented temporarily until June 30, 2026." He continued, "The government expects this measure to bring an additional 1 million Chinese tourists to Korea."

The financial sector in Yeouido predicts that Korean Air, Hanatour, Hotel Shilla, Lotte Tour Development, and Daesung Fine Tec will benefit from the increase in Chinese tourists.

Choi Ji-woon, a researcher at Yuanta Securities, said, "Although international passenger traffic was sluggish in the third quarter, both outbound and inbound demand are expected to increase in the fourth quarter due to the effect of long holidays and the implementation of the visa-free entry policy for Chinese group tourists." He explained, "On China routes, the market share of full-service carriers (FSCs) is significantly higher than that of low-cost carriers (LCCs), so the benefit to Korean Air is expected to be relatively large."

Lotte Tour Development is continuing its record-breaking monthly performance even in September, ahead of the peak season in October. The company's total drop amount last month was 293.3 billion won, a 104.5% increase compared to the same period last year. Casino sales in September reached 52.9 billion won, up 86.3%. The number of monthly visitors was 59,050, a 65.1% increase. Jo Dae-hyung, a researcher at DS Investment & Securities, analyzed, "The visa-free policy and the expansion of airline routes to Jeju International Airport will coincide with the peak season, sharply increasing the number of casino visitors," and added, "Even in the off-season fourth quarter, growth in casino sales can be expected."

Daesung Fine Tec, which merged with the leisure content operator Monolith in August this year, is also likely to benefit from the increase in Chinese tourists. Monolith currently operates 9.81 Park in Jeju. The cumulative number of visitors has surpassed 2.5 million. The number of visitors from Greater China in July and August this year increased fourfold compared to the same period last year, indicating a growing demand from the Chinese-speaking region. Lee Chung-heon, a researcher at Value Finder, explained, "The three major cities most visited by foreigners in Korea are Seoul, Busan, and Jeju. As of the cumulative total in July this year, Jeju had 7.65 million visitors, including 1.28 million foreign tourists." He added, "The continued increase in inbound tourism demand is expected to benefit Daesung Fine Tec, which is operating a unique theme park that previously did not exist."