The impact of U.S.-China relations on Chinese travel is reshaping global tourism, driving Chinese travelers toward friendlier destinations in Europe, the Middle East, and Southeast Asia.
The complex relationship between China and the United States has long influenced global economics, trade, and diplomacy. In recent years, political and economic friction between these two superpowers has begun to directly shape the travel decisions of Chinese consumers, influencing where they go, what they spend money on, and even which brands they support while abroad.
From declining Chinese tourism in the U.S. to a rise in travel to Europe, the Middle East, and Southeast Asia, the impact of geopolitical tensions on global travel trends is becoming increasingly clear. In an era where economic disputes and national policies influence personal choices, it is important to examine how Chinese travelers are responding to shifts in diplomatic relations—and what this means for the broader tourism and hospitality industries worldwide.
The Evolving Trade War and Its Effect on Chinese Travelers
The U.S.-China trade war, now in a new phase of economic rivalry, extends far beyond tariffs and market restrictions. It has become a larger geopolitical struggle that affects business, technology, and consumer sentiment on a global scale. As the U.S. imposes stricter policies on Chinese tech companies, tightens visa regulations, and strengthens its alliances in Asia and Europe, China is responding by fostering stronger ties with “friendly” nations and expanding its Belt and Road Initiative (BRI) to create new economic partnerships.
These political moves are not lost on Chinese consumers, who increasingly consider which countries are perceived as welcoming to China when planning their travel. The impact of diplomatic tensions is no longer just an issue for governments and corporations—it is now influencing the personal travel decisions of millions of people.
Declining Chinese Travel to the U.S.
Once a top international destination for Chinese tourists, the United States has seen a dramatic decline in visitors from China in recent years.
- In 2017, nearly 3 million Chinese travelers visited the S., making it one of the largest inbound markets.
- By 2024, that number had fallen by nearly 50%, dropping to around 5 million due to
visa complications, safety concerns, and diplomatic tensions.
This decline has been especially damaging for major U.S. cities like Los Angeles, New York, and San Francisco, which previously relied heavily on Chinese tourist spending— particularly in luxury retail, hospitality, and fine dining.
At the same time, many Chinese travelers are redirecting their vacations to alternative destinations that are seen as more welcoming. Europe, the Middle East, and Southeast Asia are among the biggest beneficiaries of this shift.
The Rise of “Friendlier” Destinations for Chinese Travelers
1. Europe and the Middle East: Key Beneficiaries
With fewer Chinese tourists choosing the United States, European and Middle Eastern destinations have positioned themselves as the new preferred travel hubs for Chinese visitors.
- Paris, London, and Barcelona have intensified their marketing efforts in China, offering enhanced Chinese-language services, digital payment options (Alipay, WeChat Pay), and luxury shopping incentives.
- Dubai, Abu Dhabi, and Riyadh have successfully attracted Chinese business and leisure travelers, benefiting from their neutral diplomatic stance and strategic partnerships with China.
- Greece and Spain have seen rising numbers of Chinese group and luxury travelers, with locations such as Athens, Santorini, and Madrid becoming hotspots for high-end tourism and MICE (Meetings, Incentives, Conferences, and Exhibitions) events.
A recent example of this shift can be seen at the Four Seasons Madrid, which reported strong growth in Chinese corporate and incentive travel bookings, further signaling a move away from the U.S. toward more receptive markets.
2. Southeast Asia’s Continued Dominance
Southeast Asian countries, historically popular destinations for Chinese tourists, are continuing to dominate the Chinese outbound travel market.
- Thailand, Singapore, and Malaysia remain top choices due to their proximity, visa- free policies, and well-established Chinese tourism infrastructure.
- Japan and South Korea, despite occasional diplomatic tensions, continue to see robust Chinese visitor numbers, particularly in the areas of luxury shopping, pop culture tourism, and cuisine.
With visa restrictions and political tensions discouraging travel to the U.S., these regions are benefiting from Chinese travelers looking for easier, more welcoming experiences.
Shifting Brand Preferences: Are Chinese Travelers Avoiding U.S. Brands?
Beyond choosing different destinations, Chinese travelers are also reconsidering their brand loyalties when abroad.
- Hotel Preferences – More Chinese travelers are choosing European or Asian hotel brands over traditional American chains. While Marriott and Hilton remain strong players, brands like Kempinski (Germany), Accor (France), and Shangri-La (China) are gaining popularity due to their stronger presence in markets perceived as “China- “
- Restaurant & Retail Choices – As U.S.-China tensions escalate, some Chinese consumers are avoiding U.S.-affiliated brands like McDonald’s, Starbucks, and KFC, even when these franchises are locally owned in foreign This shift could negatively impact American global brands, even in markets outside the U.S.
- Airline Bookings – More Chinese travelers are opting for Chinese, Middle Eastern, and European airlines (China Eastern, Emirates, Lufthansa) over American carriers (United, Delta, American Airlines).
Even if McDonald’s in Europe is not “American-owned”, the perception of it being a symbol of the U.S. influences consumer behavior, impacting franchise owners, supply chains, and local economies worldwide.
What This Means for Global Businesses
For travel and hospitality professionals, understanding and adapting to these shifts is essential. The U.S.-China trade war has reshaped global tourism trends, but it also presents new opportunities for destinations and businesses willing to embrace the evolving landscape.
1. Strategic Realignment in Tourism
Countries and brands that position themselves as “China-friendly” will gain a competitive advantage in the coming years.
- Thailand, the UAE, and France are investing in Chinese digital marketing, tourism infrastructure, and direct flight expansions.
- Saudi Arabia’s Vision 2030 initiative is actively attracting Chinese visitors through partnerships with airlines and travel agencies.
2. Hotels & Tourism Operators Must Adapt
For hotels, airlines, and retailers looking to attract Chinese visitors, small adjustments can make a big impact:
- Hotels should prioritize Mandarin-speaking staff and Chinese dining options.
- Destinations should strengthen their digital engagement via WeChat, Xiaohongshu, and Douyin.
- Retailers should tailor promotions and offer exclusive shopping incentives for Chinese customers.
3. MICE & Corporate Travel Shifts
Chinese corporate travel is also undergoing a strategic shift, with business meetings and trade shows relocating from the U.S. to Europe, the Middle East, and Asia.
Berlin, Dubai, and Singapore are emerging as top global hubs for Chinese corporate and incentive travel.
Luxury MICE groups are favoring Spain, Greece, and Italy over U.S. destinations.
Adapting to a Changing Travel Landscape
As political and economic tensions between the U.S. and China continue, Chinese travel patterns will evolve accordingly. While the U.S. may see fewer Chinese visitors, other regions are stepping up their efforts to welcome them.
sses in tourism and hospitality, the key is adaptation and innovation—understanding how political sentiment influences travel choices and adjusting marketing, services, and partnerships accordingly.
In a world where geopolitics increasingly influences consumer behavior, those who can pivot and embrace new markets will be best positioned for long-term success in the evolving global travel industry.