Tourism data

Recovery from China and India boosts arrivals in March

Our take on the latest Tourism data (Fri 12 May 2023)

Foreign tourist arrivals total 259,100
Arrivals from China lift to 17% of pre-pandemic levels
Kiwi departures fall to 86% of pre-pandemic levels

The key numbers...

  • Foreign tourist arrivals rebounded to 69% of pre-pandemic (2019) levels in February, arresting the drop-off in the recovery over the past two months.
  • The lift was supported by an improving recovery across selected Asian markets. Arrivals from India surged to 136% of pre-pandemic levels in March, and the recovery of arrivals from China lifted from 8% of pre-pandemic levels in February to 17% in March. Similarly, Hong Kong tourist arrivals lifted from 18% of pre-pandemic levels in February to 50%.
  • The recovery in Australian tourist arrivals remained fairly stagnant, lifting one percentage point from February to 78% of pre-pandemic levels.
  • Arrivals into Auckland and Christchurch continue to increase as a proportion of pre-pandemic levels, reaching 68% and 53% respectively. Arrivals into Queenstown remain above pre-pandemic levels, but eased (for a third consecutive month) to 108%.
  • There were 183,300 Kiwi departures in March. Kiwi departures fell from 88% of pre-pandemic levels in February to 86%.

Tourism recovery boosted in March

Monthly tourism arrivals, % of pre-pandemic (2019) levels
4565

...and our reaction

  • Strong arrival numbers from India, China, and Hong Kong in March provided a much-needed boost, as arrivals across our other major markets continue to stagnate. United States tourist arrivals remained at 76% of pre-pandemic levels, and the recovery of arrivals from Japan, South Korea, Canada, and Germany remained at a plateau.
  • Although the 17% figure from China is a positive sign, arrivals are still at a very low level compared to pre-pandemic. Given the sluggish rate of passport renewals and visa processing in China, we expect a slow recovery to persist. Nevertheless, if China were to reach just 25% of pre-pandemic levels in April, it would mean an additional 2,000 arrivals compared to March.
  • Cost-of-living challenges and rising interest rates may now be weighing on households’ desire for travel. As pent-up travel demand dissipates and more households face refixing their mortgage at higher interest rates, outbound travel is likely to remain soft.