Modern Australian
Men's Weekly

.

We depend so much more on Chinese travellers now. That makes the impact of this coronavirus novel

  • Written by Mingming Cheng, Senior Lecturer, School of Marketing, Curtin University

Australia has joined New Zealand, the United States, Indonesia, India, Israel and other countries in deciding to refuse entry to all foreigners flying from or who have recently been in mainland China.

These bans dramatically escalate the potential economic impact of the novel coronavirus.

Read more: How does the Wuhan coronavirus cause severe illness?

Over the past two decades China has grown from a minnow to a whale in international travel. Not counting mainland Chinese visiting Hong Kong and Macau (about 76 million in 2018), data from the United Nations World Tourism Organisation show the number of Chinese going abroad climbed from 2.8 million in 1997 to about 73 million in 2018.

This places China fourth in terms of international visits, behind Germany (about 92 million), the United States (88 million) and Britain (74 million).

Rise of the Chinese traveller

Besides Hong Kong and Macau, Chinese travellers most visit neighbouring nations – Thailand, Japan, Vietnam, South Korea and Singapore. Next is Italy, then the United States and Malaysia.

Australia is somewhat down the list – just the 17th-most-popular destination for Chinese visitors in 2018 (1.4 million visits). New Zealand was the 26th (about 448,000).

We depend so much more on Chinese travellers now. That makes the impact of this coronavirus novel CC BY But China is now Australia’s largest source of international visitors. Short-term arrivals from China overtook those from New Zealand (the top source for many decades) in 2017. We depend so much more on Chinese travellers now. That makes the impact of this coronavirus novel In the 12 months to November 2019, there were 1.44 million Chinese visitors to Australia, according to Tourism Australia. This was about 15% of the total 9.44 million short-term arrivals. But Chinese visitors contributed relatively more to the Australian economy. The average spend per Chinese trip was $A9,235. This compared with $A5,943 for Germans, $A5,219 for Americans, $4,614 for Japanese and $A2,032 for New Zealanders. This meant Chinese travellers contributed about A$12 billion to the Australian economy – or 27% of the total amount spent by all international visitors. International tourism accounts for about a quarter of Australia’s total tourism market. That means, in the greater scheme of things, Chinese travellers help create 0.6% of Australia’s annual GDP. We depend so much more on Chinese travellers now. That makes the impact of this coronavirus novel China overtook New Zealand as the leading country of origin for short-term arrivals to Australia in 2017. Mick Tsikas/AAP The student effect The reason the Chinese spend (on average) so much more than other visitors is due to the large number of Chinese who come to Australia to study. The Tourism Australia data show almost 275,000 of the 1.44 million Chinese visits – about 20% – were for educational purposes. By comparison, study was the reason for fewer than 14,000 – or less than 1% – of the 1.42 million visits by New Zealanders. Read more: Why New Zealand is more exposed than others to the economic chills of China’s coronavirus outbreak Chinese students stayed an average of 124 nights before going home and spent an average of $27,000. This is more than any other nationality. The average spent by all international students was A$22,000. Chinese tourists, on average, stayed an average of 14 days and spent A$4,655. The average for all international holidaymakers was A$4,286. The biggest-spending were the Italians (A$7,174), Germans (A$6,028) and British ($A6,011). So Chinese students accounted for just shy of 58% – or A$7.1 billion – of all the money spent by Chinese visitors. Ban impacts Australia’s travel ban has come just in time to disrupt the plans of thousands of Chinese students coming or returning to Australia. February is normally the peak month for Chinese arrivals in Australia. In 2019, the month recorded 206,300 arrivals – roughly double the average month. This is because this month is when many Chinese students arrive or return to Australia to start the university year. (It’s also due in part to the proximity of the Chinese lunar new year – January 25 this year, February 25 last year – when hundreds of thousands of Chinese travel for a holiday or to visit family.) Read more: The coronavirus outbreak is the biggest crisis ever to hit international education Chinese students enrolled in Australian universities comprise 38% of all full-fee paying international students. With international students now contributing about 23% of university revenues, this suggests the Chinese market alone contributes about 9%. More Chinese students come to Australia for vocational education and training or school. All up, Chinese students account for about 30% of total overseas student enrolments. We depend so much more on Chinese travellers now. That makes the impact of this coronavirus novel CC BY Long-term impacts Our main point of reference for the economic impact of the coronavirus is the impact of SARS in late 2002. The Chinese government imposed similar travel restrictions to now. But Australia did not ban travellers from China outright. It instead relied on screening at airports. In May 2003 just 3,100 Chinese visited Australia, a 75% decline on the 12,600 visitors in May 2002. Visitor numbers from other Asian countries also suffered, with the total number of international short-term arrivals falling 8.5% in April , then a further 2.6% in May. But SARS was contained relatively quickly. By July the Chinese government had lifted its restrictions. The following month Chinese arrivals were back up to more than 12,000. We depend so much more on Chinese travellers now. That makes the impact of this coronavirus novel Chinese visitor arrivals during and after the SARS crisis. Australian Bureau of Statistics The economic impact of SARS was therefore “short-lived and limited”, according to the Australian Treasury. Read more: Fear spreads easily. That's what gives the Wuhan coronavirus economic impact The economic impact of the novel coronavirus is shaping to be more signficant, based on the scale of crisis, the severity of travel restrictions, the likelihood travel bans will stay in place for longer and the much greater numbers of Chinese tourists and students on which Australia’s tourism and education industries have come to rely.

Authors: Mingming Cheng, Senior Lecturer, School of Marketing, Curtin University

Read more https://theconversation.com/we-depend-so-much-more-on-chinese-travellers-now-that-makes-the-impact-of-this-coronavirus-novel-130798

Mobile Patrol Security vs Static Guards: What’s Best for Brisbane Businesses?

Business security is very nuanced; a cookie-cutter approach doesn’t necessarily always work in a city like Brisbane. The bigger the city, the more...

Your Home Needs Regular Maintenance — And More Than Most Think

Why Regular Home Maintenance Is More Important Than Most Homeowners Think For many Australians, the home is more than just a shelter; it is the mos...

Roof Painting Jimboomba: Protect and Transform Your Home

Your roof plays a crucial role in protecting your home from the harsh Australian climate. Over time, exposure to sun, rain, and changing weather con...

Residential Electrical Services: Reliable Solutions for Adelaide Homes

Electrical systems play a vital role in keeping your home safe, comfortable, and functional. From lighting installations to switchboard upgrades and...

Leaking Shower Repair Perth: Fix Hidden Water Damage Before It Gets Worse

A leaking shower might seem like a minor issue at first, but over time it can cause serious structural damage to your bathroom and surrounding areas...

Full Mouth Rehabilitation: A Comprehensive Dental Solution for Patients Seeking Advanced Care Abroad

Dental health plays a vital role in overall well-being, confidence, and quality of life. For individuals experiencing extensive dental issues such a...

Fertility Treatment in Australia | Expert Reproductive Care

One of the most significant journeys in life is the formation or the development of a family. To most couples and individuals, conception, however, ...

Professional Bathroom Builders Sydney: What Defines Professional Standards

Professional bathroom builders in Sydney operate within a regulated construction environment that prioritises safety, compliance, and structural durab...

Retail Cleaning Creating Welcoming and Professional Store Environments

First impressions matter in retail, and cleanliness plays a powerful role in shaping how customers perceive a store. Retail cleaning focuses on mai...

Why Year 12 Tutoring Plays A Crucial Role In Academic Success

The final year of school is one of the most demanding periods in a student’s academic journey, which is why year 12 tutoring has become an essent...

Legal Remedies Available in a Breach of Contract Case

When a contract is broken, the consequences can affect cash flow, reputation and ongoing business relationships. A breach of contract may occur when...

Long Weekend Camping in the Yarra Ranges: Three Weekends of High Country Adventure

Yarra Ranges National Park, Victoria. Image by Mattinbgn (talk · contribs), CC BY 3.0, via Wikimedia CommonsVictoria’s Yarra Ranges offer keen trav...

Why Waste Management Solutions Are Essential For Modern Businesses

Managing waste responsibly has become a critical priority for organisations of all sizes, which is why waste management solutions play such an impo...

The Importance and Varieties of Ride-On Mower Tyres

Ride-on mowers are built to manage larger lawns with consistency and control. The quality and design of ride on mower tyres play a critical role in ...

Gain Peace Of Mind: The Undeniable Benefits Of A Ready First Aid Kit

Life in our vibrant communities, whether it's the bustling city or the quiet country town, is full of unexpected moments. From a scraped knee on the...

The Most Common Conveyor System Issues in Manufacturing

In modern manufacturing, conveyor systems play a central role in keeping production lines efficient, consistent, and cost-effective. When they operate...

How to Secure a Long-Term Rental in a Competitive Market

The rental market can be unpredictable and may present challenges if you’re not prepared. Initially, you might submit numerous applications and stil...

What Smart Investors Know About Real Estate

Many people think investing in property is just about buying a house and waiting for it to get expensive. While that can happen, the people who actual...