China’s Visa-Free Policy: A Boon for Chinese Airlines, a Challenge for Foreign Carriers

China’s implementation of a 144-hour visa-free policy for citizens from more than 50 nations has had a profound impact on the country’s international air travel in 2024. This initiative, designed to encourage short-term stays, has led to a surge in foreign visitors, dramatically reshaping the operational strategies of both domestic and international airlines.

The policy’s introduction has driven a significant rise in international traffic to China. Foreign tourist arrivals in China soared to 5.722 million in the first seven months of 2024, representing a staggering 403% increase compared to the same period in 2023. This remarkable rise is primarily attributed to the visa-free policy, which has made short-term trips to China more appealing and convenient. Travelers from eligible countries can now stay in China for up to 144 hours (6 days) without needing a visa, as long as they have a confirmed onward ticket to a third destination.

Impact on Chinese Airlines

Chinese airlines have reaped significant benefits from the 144-hour visa-free policy. The influx of foreign visitors has resulted in a notable increase in passenger numbers on their international routes, boosting revenue and motivating them to further expand their global reach.

*

Air China

has introduced several new routes, including Chengdu Tianfu to Milan, Beijing Capital to Riyadh, and Havana (with a stop in Madrid). The airline has also launched Shanghai Pudong to London Gatwick and Beijing Capital to Dhaka routes. Additionally, Air China has resumed flights from Shanghai Pudong to Barcelona, Beijing to São Paulo (via Madrid), Beijing Capital to Auckland, and Shanghai Pudong to Munich.

*

China Eastern Airlines

has expanded its network by launching new routes from Shanghai Pudong to Venice, Marseille, Riyadh, and Kazan, and from Xi’an to Milan and Hanoi. Additional routes include Nanjing to Melbourne and Yantai to Bangkok. The airline has also resumed flights from Ningbo to Osaka.

*

China Southern Airlines

has strengthened its international operations from its northwest hub in Urumqi, introducing new routes to Yerevan and Istanbul, and resuming the Guangzhou to Astana route via Urumqi. At its main hub in Guangzhou, the airline has launched new services to Islamabad, Belgrade, Port Moresby, Budapest, and London Gatwick, while also reinstating flights from Guangzhou to Christchurch and Perth. Notably, China Southern has also introduced the world’s seventh-longest international flight from Shenzhen to Mexico City.

*

Juneyao Air

, based in Shanghai, has strategically utilized its Boeing 787-9 fleet to establish new routes to Europe and Australia, including flights from Shanghai to Athens, Manchester, and Brussels. The airline has future plans to launch services to Melbourne and Sydney.

The visa-free policy has significantly benefited Chinese airlines, enabling them to tap into new markets and attract a broader spectrum of passengers, from tourists to business travelers. The enhanced connectivity has also driven economic growth in numerous Chinese cities, as international visitors contribute to local economies through tourism and commerce.

Challenges for Foreign Airlines

While Chinese carriers have flourished under the visa-free policy, foreign airlines have encountered a more competitive and challenging landscape. The policy has intensified competition on various international routes, particularly those linking China and Europe. European airlines have found it difficult to maintain their market share as Chinese carriers have aggressively expanded their routes and offered competitive pricing.

One of the key challenges for foreign airlines has been the ongoing airspace restrictions over Russia, forcing them to adopt longer and more expensive flight paths to reach China. This disadvantage has led some foreign airlines to reduce or even discontinue certain services to China.

*

British Airways

announced in August that it would “pause” its London-Beijing route, which has been in operation since 1980, starting from October 26.

*

Virgin Atlantic

suspended its London-Shanghai service after 25 years.

*

Qantas

halted its Sydney-Shanghai flights from July to focus on more profitable routes.

These decisions underscore the difficulties foreign carriers face in sustaining routes to China amid increased competition and operational challenges.

Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top