China’s Labor holiday, May 1, has hit a rough patch in its regular tourist season as the Chinese regime tightens its epidemic control policies.

At a press conference on April 28, hosted by the Chinese Communist Party’s State Council, the Ministry of Transport officials said that from April 30 to May 4 is the “Labor May Day” holiday, and the passenger traffic is expected to drop significantly this year compared to last year.

During the holiday, the national passenger traffic is expected to be 100 million, down 62% from the same period in 2021.

In addition, the “Labor May Day” holiday national highway average daily traffic is expected to be 27 million vehicles, about 49% lower than the same period last year. Among them, the Yangtze River Delta region traffic will drop significantly.

According to the report of the press conference of the Civil Aviation Administration of China on April 28, passengers are unlikely to travel because of the travel restriction as part of epidemic control measures.

According to the current airline ticket booking, the average number of daily airline passengers during the holiday is about 400,000, down 77% compared to last year.

According to Fitch rating, the recovery of China’s tourism industry has slowed from mid-2021 and will remain volatile in 2022 due to travel restrictions following recent Covid-19 outbreak cases.

Revenue and number of China domestic tourists numbers in 2021 dropped to about 50% of pre-pandemic levels and remained weak for the year 2022.

The rating agency also believes the CCP’s Covid-19 policies could have hurt tourism activities, slowing down China’s economic recovery.

China’s tourism contributed 11% to 2019’s China’s total GDP, playing a pivotal role in China’s economy. Except for 2020, the tourism growth rate of the country has outperformed its GDP since 2014.

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