Asia-Pacific Tourism Market Set to Double
What happened
The tourism market in the Asia-Pacific region is projected to nearly double from $165.9 billion in 2026 to $317.4 billion by 2036, representing a 6.7% CAGR. This growth is attributed to rapid AI adoption, improved regional connectivity, and rising middle-class wealth. China is a major driver, with outbound trips forecast to exceed 225 million in 2026, surpassing pre-pandemic levels.
Why it matters
- Intra-regional travel is a primary growth engine, expected to account for over 70% of the Asia-Pacific region's tourism revenue by 2030, bolstered by simplified visa processes and better air connections. - Several Southeast Asian nations, including Malaysia, Thailand, and Vietnam, have eased or extended visa-free entry for citizens from key markets like China and India, contributing to a strong rebound in international arrivals. For instance, Malaysia welcomed over 38 million visitors in 2025, making it the most visited country in Southeast Asia that year. - Japan has seen a significant tourism surge, setting a new record with 36.9 million international visitors in 2024, surpassing the 2019 peak by 5 million. The country's tourism sector now ranks as its second-largest export sector after automobiles, generating approximately JPY 8.1 trillion (USD 53.3 billion) in 2024. - While Chinese outbound travel is recovering, challenges remain, including international flight capacity that has only reached 80% of pre-pandemic levels and rising airfares. This has led to a shift, with a nearly 10-percentage-point drop in long-haul international trips from China in 2024 compared to the previous year. - New travel trends are emerging among Chinese tourists, such as "entertainment-driven travel," exemplified by a 400% increase in accommodation bookings in Singapore during a Taylor Swift concert. There is also a growing interest in eco-friendly and elderly-friendly travel options. - To support the tourism boom, massive infrastructure investments are underway, with the Asia-Pacific region accounting for 60% of new airport development projects globally. Vietnam alone plans to invest approximately USD 144 billion in its tourism infrastructure between 2021 and 2030, with 95-97% of this funding expected from private and foreign sources. - Thailand's tourism sector showed a strong recovery, welcoming over 35 million international tourists in 2024, exceeding its target and nearing pre-pandemic figures of 39.92 million in 2019. The government aims to attract 40 million visitors in 2025. - Traveler spending per trip in the Asia-Pacific is rising sharply, making it a high-value market even if visitor volume in some areas still lags behind pre-COVID levels. A notable trend is the willingness of tourists to pay more for sustainable options, with 75% of Chinese and 80% of Indian travelers stating they would pay at least a 10% premium for eco-friendly travel.
Key numbers
- The tourism market in the Asia-Pacific region is projected to nearly double from $165.9 billion in 2026 to $317.4 billion by 2036, representing a 6.7% CAGR.
- China is a major driver, with outbound trips forecast to exceed 225 million in 2026, surpassing pre-pandemic levels.
- - Intra-regional travel is a primary growth engine, expected to account for over 70% of the Asia-Pacific region's tourism revenue by 2030, bolstered by simplified visa processes and better air connections.
- For instance, Malaysia welcomed over 38 million visitors in 2025, making it the most visited country in Southeast Asia that year.
What happens next
- Intra-regional travel is a primary growth engine, expected to account for over 70% of the Asia-Pacific region's tourism revenue by 2030, bolstered by simplified visa processes and better air connections.
- Vietnam alone plans to invest approximately USD 144 billion in its tourism infrastructure between 2021 and 2030, with 95-97% of this funding expected from private and foreign sources.
- Thailand's tourism sector showed a strong recovery, welcoming over 35 million international tourists in 2024, exceeding its target and nearing pre-pandemic figures of 39.92 million in 2019.
Sources
Quick answers
What happened in Asia-Pacific Tourism Market Set to Double?
The tourism market in the Asia-Pacific region is projected to nearly double from $165.9 billion in 2026 to $317.4 billion by 2036, representing a 6.7% CAGR. This growth is attributed to rapid AI adoption, improved regional connectivity, and rising middle-class wealth. China is a major driver, with outbound trips forecast to exceed 225 million in 2026, surpassing pre-pandemic levels.
Why does Asia-Pacific Tourism Market Set to Double matter?
Intra-regional travel is a primary growth engine, expected to account for over 70% of the Asia-Pacific region's tourism revenue by 2030, bolstered by simplified visa processes and better air connections. Several Southeast Asian nations, including Malaysia, Thailand, and Vietnam, have eased or extended visa-free entry for citizens from key markets like China and India, contributing to a strong rebound in international arrivals. For instance, Malaysia welcomed over 38 million visitors in 2025, making it the most visited country in Southeast Asia that year. Japan has seen a significant tourism surge, setting a new record with 36.9 million international visitors in 2024, surpassing the 2019 peak by 5 million. The country's tourism sector now ranks as its second-largest export sector after automobiles, generating approximately JPY 8.1 trillion (USD 53.3 billion) in 2024. While Chinese outbound travel is recovering, challenges remain, including international flight capacity that has only reached 80% of pre-pandemic levels and rising airfares. This has led to a shift, with a nearly 10-percentage-point drop in long-haul international trips from China in 2024 compared to the previous year. New travel trends are emerging among Chinese tourists, such as "entertainment-driven travel," exemplified by a 400% increase in accommodation bookings in Singapore during a Taylor Swift concert. There is also a growing interest in eco-friendly and elderly-friendly travel options. To support the tourism boom, massive infrastructure investments are underway, with the Asia-Pacific region accounting for 60% of new airport development projects globally. Vietnam alone plans to invest approximately USD 144 billion in its tourism infrastructure between 2021 and 2030, with 95-97% of this funding expected from private and foreign sources. Thailand's tourism sector showed a strong recovery, welcoming over 35 million international tourists in 2024, exceeding its target and nearing pre-pandemic figures of 39.92 million in 2019. The government aims to attract 40 million visitors in 2025. Traveler spending per trip in the Asia-Pacific is rising sharply, making it a high-value market even if visitor volume in some areas still lags behind pre-COVID levels. A notable trend is the willingness of tourists to pay more for sustainable options, with 75% of Chinese and 80% of Indian travelers stating they would pay at least a 10% premium for eco-friendly travel.
