Overseas Spending in China Rose 27.8% in First Seven Months, MOFCOM Says

Overseas visitors spent 263.6 billion yuan ($37 billion) in China between January and July, marking a 27.8% year-on-year increase, according to data released by the Ministry of Commerce. Ministry spokesperson Huang Ling reported that the number of foreign travelers processing departure tax refunds more than tripled compared to the previous year. The gains were propelled by policy upgrades including paperless tax refunds, expanded multilingual and digital payment services across 15 pilot cities, and strong summer interest from European travelers and tech buyers.

The surge in foreign visitor consumption highlights tangible returns on China's cross-agency drive to dismantle barriers for inbound travelers. Easing foreign payments, expanding visa exemptions, and streamlining tax refunds are turning international arrival volume into retail and service sector revenue. If sustained, this inbound spending can cushion domestic retail demand, support regional economies, and demonstrate the competitiveness of Chinese consumer electronics and lifestyle brands to an international audience.

Overseas personnel in China spent 263.6 billion yuan ($37 billion) during the first seven months of the year, representing a 27.8% increase compared to the same period in 2023, according to figures released by the Ministry of Commerce. Speaking at a regular press conference in Beijing, ministry spokesperson Huang Ling stated that the number of inbound travelers processing departure tax refunds jumped more than threefold year on year. The Ministry of Commerce attributed the uptick to strong summer travel demand, expanded retail offerings, and ongoing policy reforms aimed at streamlining the domestic shopping experience for foreign visitors. Summer travel patterns revealed shifting regional preferences. Ministry data sourced from travel platforms showed that European nations accounted for 30% of the top 20 source countries and regions during the summer season, with inbound travel bookings from Europe climbing 275% and attraction ticket orders growing over twentyfold. Beyond traditional first-tier gateways, travelers demonstrated growing interest in interior destinations, with foreign flight bookings to cities such as Yining in Xinjiang and Nyingchi in Tibet increasing by more than sixfold. Visitor spending habits also diversified toward domestic consumer brands and advanced electronics. According to Huang, items including foldable smartphones, artificial intelligence glasses, and smart fitness bands have gained popularity among inbound shoppers. In Shanghai, personalized consumer manufacturing has captured foreign demand, with overseas buyers accounting for more than 50% of customized orders across sectors such as tailored apparel, jewelry, timepieces, and eyewear. Policy initiatives by central and local authorities played a direct role in easing commercial transactions. The Ministry of Commerce and the Ministry of Finance have partnered to support international consumption environments across 15 pilot cities. In Shenzhen, municipal authorities deployed improved multilingual guidance and optimized foreign card payment facilities. Retail facilitation was further bolstered by the rollout of upgraded departure tax refund regulations on July 1. The revised policy introduced low-value spot checks and paperless customs clearance. Local governments have also introduced localized service improvements, including Beijing's first online tax refund retail outlet and centralized 'buy-now, refund-now' reimbursement counters across commercial hubs in Guangzhou, Chongqing, and Chengdu.