Vietnam has overtaken Thailand as the most popular destination for Chinese outbound tourists in a significant real-time shift in Southeast Asia’s tourism landscape.

Data from the first eight months of 2025 show that Vietnam welcomed a record number of Chinese travellers, surpassing Thailand’s figures and signalling a major realignment of regional tourism flows.

Vietnam’s international arrivals climbed to historic highs, propelled by robust growth in Chinese visitors who are increasingly choosing Vietnamese destinations for their holidays.

As of August, Vietnam reported more than three and a half million arrivals from China, marking a substantial year-on-year increase and positioning China as the country’s largest source market.

In contrast, Chinese arrivals to Thailand fell sharply, with estimates indicating a decline of around thirty-five per cent over the same period, driven in part by lingering perceptions of safety concerns and evolving traveller preferences that have influenced Chinese travellers’ destination choices.

The drop in Chinese tourists to Thailand has also been accompanied by reductions in airline seat capacity from China, underscoring broader shifts in connectivity and demand.

The surge in Chinese tourism to Vietnam reflects both structural changes in international travel and strategic efforts by Vietnamese authorities and tourism stakeholders to attract visitors from the world’s largest outbound market.

Tourism operators in Vietnam have responded with enhanced services tailored to Chinese visitors, including Mandarin language support, targeted marketing campaigns and culturally resonant experiences that appeal especially to younger and independent travellers seeking authentic and diverse travel offerings.

Analysts say the diversion of Chinese tourism away from Thailand could have significant economic implications.

Estimates suggest the redirection of spending by Chinese visitors might translate into several billion dollars in revenue flowing to Vietnam and neighbouring destinations, underscoring the commercial importance of maintaining competitiveness in the post-pandemic tourism environment.

Meanwhile, Thailand’s tourism sector continues to rely on other international markets, but the loss of share from China has prompted industry and government stakeholders to consider more aggressive initiatives to restore confidence and renew its appeal among mainland Chinese visitors.

The reordering of regional tourism preferences marks a notable moment for Southeast Asia’s travel economy, with Vietnam’s record performance underscoring its emergence as a dynamic destination for Chinese travellers and Thailand facing a period of strategic recalibration to reclaim its standing in the region’s highly competitive tourism market.