Tourism data

Arrivals from Asia deliver a strong boost to tourism

Our take on the latest Tourism data (Mon 14 Aug 2023)

Foreign tourist arrivals total 178,400 in June
Total arrivals lift to 84% of winter season pre-pandemic levels
Arrivals from China almost half of winter season pre-pandemic levels

The key numbers...

  • There were 178,400 foreign tourist arrivals in June, 84% of pre-pandemic (June 2019) levels. The recovery from pre-pandemic levels rose 11 percentage points, a considerably larger improvement than the average monthly gain of 3.3 percentage points over the year to May.
  • Arrivals from Australia, our largest tourism market by far, rose to 89% of pre-pandemic levels in June after remaining around 80% for several months. Arrivals from China lifted to 47% of pre-pandemic levels. There were also significant boosts to the recovery of arrivals from Thailand, Taiwan, and Hong Kong.
  • India has been a particularly strong performer, with June arrivals sitting at 167% of pre-pandemic levels. Arrivals from India surpassed pre-pandemic levels in March and have been climbing ever since.
  • Looking at tourism arrivals by visa type, the ‘friends and family’ group surpassed pre-pandemic levels for the first time in June. The ‘holiday’ group lifted to 78% of pre-pandemic levels after sticking around 50-60% between January and May.
  • After continually softening results from February till May, Kiwi departure numbers lifted to 91% of pre-pandemic levels in June.

Tourism recovery lifts strongly in June

Monthly tourism arrivals, % of pre-pandemic (2019) levels
4664

...and our reaction

  • June was a particularly strong month for tourism arrivals, considering the recovery’s more restrained momentum over the first few months of this year. June is traditionally the weakest month for tourism arrivals, in the middle of the winter season, and so the recovery at present is a recovery to the weakest point in the tourism cycle.

     

  • There is rising evidence of a continued recovery of Chinese arrivals, as the country continues to lift COVID-19 travel restrictions and new direct China-New Zealand flight routes become available. If arrivals from China as a proportion of pre-pandemic levels were to lift a further ten percentage points in July, the number of monthly arrivals would be almost double their level in June.

  • Enhanced flight connectivity has also been beneficial to arrival numbers from other key markets in Asia, including Hong Kong and Taiwan, and will continue to grow over the coming months. Cathay Pacific will begin three direct Christchurch to Hong Kong services per week from December.

  • Higher numbers of tourist arrivals from India compared to pre-pandemic comes as Air India continues to expand its international network, and the New Zealand government makes efforts to strengthen its partnership with the country. Our relationship with India appears to have entered a stronger phase post-COVID, with the Indian share of total arrivals lifting from 2.0% pre-pandemic (July 2019), to 4.0% in July 2023. 

  • Despite acute cost-of-living challenges at home, Kiwi departures lifted to a post-COVID high of 275,500 in June. The boost to departures is likely supported by improved flight connectivity, as well as a particularly poor period for winter weather conditions (especially in the North Island), which could have inspired a higher level of holidaying.

  • The FIFA Women’s World Cup is expected to deliver another injection of tourist arrivals in July.