Singapore pulls ahead in Southeast Asia’s race to win back Chinese tourists

While most of the world is still awaiting the return of deep-pocketed Chinese tourists, tiny Singapore is a global exception.

More than 327,000 people arrived in Singapore from China in February, about 96 per cent of the level seen in 2019, according to data released by Singapore Tourism Board last week. The number is expected to surge in the months ahead, with scheduled departure seats in the first quarter already at 101 per cent of 2019 levels, data from Cirium shows.

The recovery has outpaced gains in neighbouring markets, with Thailand seeing tourism at around 63 per cent of pre-pandemic levels in February and Indonesia at about 48 per cent in the latest quarter. In Europe, projected visitors from China are expected to be about 40 per cent lower than in 2019, while the United States’ National Travel and Tourism Office is projecting total 2024 arrivals at roughly 73 per cent of pre-Covid levels due in part to geopolitical tensions.

Sometimes it feels like China. I can get around using Mandarin and Hokkien

Madam Zhuo, tourist from Xiamen

Singapore’s decision to drop visa requirements for visitors from China, its focus on safety and a push into unique cultural and entertainment events positioned it to benefit as the world’s second most populous country reopened after years of gruelling Covid controls. The moves came together over the Lunar New Year holiday, when many travellers flocked to visit family and friends who had relocated to the city state in recent years.

For Madam Zhuo, a native of Xiamen who was visiting her daughter and 10-year-old grandson, comfort is part of Singapore’s allure. The city where her family moved a year ago is much more accessible than other countries, she said, with more than 70 per cent of residents being ethnic Chinese.

“Singapore is very urban, very clean, very expensive,” Zhuo said while walking through Merlion Park, home to the eponymous statue and a prime beneficiary of the travel boom. “Sometimes it feels like China. I can get around in [using] Mandarin and Hokkien.”

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Chinese tourists are also spending more, despite the sluggish economy and weak consumer sentiment at home. Data from Trip.com shows the average outlay per visit to Singapore for expenses like flights and hotels rose 30 per cent from a year earlier.

“This is a good indication of increased interest from Chinese travellers in visiting Singapore following the implementation of mutual visa-free travel,” said Edmund Ong, the general manager of Trip.com Singapore. “Not only are visitor numbers going up, the average expenditure per traveller is also rising.”

Singapore is also rolling out activities for more westernised Chinese young adults.

Yu Peixin, a 20-year-old student from Shanghai University of Science and Technology, flew to the city to catch Taylor Swift’s last show in Asia. She forked out more than 4,000 yuan (US$556) for her flights, about twice the usual price. “It’s all worth it,” she said.

Taylor Swift fans from Vietnam and Chongqing, China, show off their make-up earlier this month ahead of one of the US pop star’s six Singapore concerts. Photo: Reuters

Travellers like Yu show that the government’s exclusive deal with the concert promoter paid off. Swift’s popularity, and the lack of shows elsewhere, sparked an influx of foreign visitors that prompted economists to raise their forecasts for the country’s economic performance.

Both Yu and Zhuo took direct flights, which are available daily from their cities. Economic headwinds in China and more expensive fares haven’t deterred demand for travel to Singapore.

While air links to most parts of the world from China were disrupted by Covid and are still largely missing, China and Singapore remain well connected. The scheduled seat capacity between the two countries is expected to recover to 101 per cent of 2019 levels in the first quarter of this year, leading recovery among key China outbound travel markets.

“The Singapore-China market advantage is that it is quite well diversified,” said Lim Ching Kiat, executive vice-president, air hub and cargo development at Changi Airport. On top of business and government travel, many people cross the border for family visits, he said.

A Singapore Airlines plane takes off from Changi Airport earlier this year. China and Singapore remain well connected, despite pandemic-era disruptions. Photo: AFP

The conservative government’s focus on safety is also helping revive post-Covid travel, particularly among rising reports of hostility toward people of Chinese and Asian descent in other parts of the world. Singapore remains a top draw for Chinese travellers who consider crime one of their main concerns. Regional competitor Thailand suffered reputational damage after recent safety incidents.

“Singapore is always seen as a trusted and reliable partner of the Chinese government and the Chinese people,” said Chin-Hao Huang, associate professor of political science at NUS Lee Kuan Yew School of Public Policy and Yale-NUS College.

Those strong ties are particularly important amid rising geopolitical tensions, as the US and China – the world’s two biggest economic superpowers – square off over everything from trade to military might.

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The congenial bilateral relations between China and Singapore have trickled down to cross-cultural interactions in daily life, making the city more comfortable and alluring for visitors.

Singapore is one of the few countries where China is viewed positively, according to a Pew Research Centre report. The feeling is reciprocal, something Huang attributes to two nations’ strong cultural ties.

Zhuo’s experience echoes the history.

“I walked around the city myself,” she said, after dropping off her grandson. “People are very friendly.”

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