Record Lunar New Year holiday signals return of China to tourism market

China’s long-awaited return as Australia’s most valuable inbound market is accelerating ahead of what is set to be the longest Lunar New Year holiday on record, with tourism operators, airlines and retailers bracing for a surge in arrivals and spending.

New travel and tourism data published in China points to elevated levels of outbound travel to Australia during the extended 2026 Chinese New Year period, from 13 February to 3 March. The official public holiday will run for nine days from 15-23 February, with industry expecting additional shoulder travel at both ends.

Driven by renewed consumer confidence, improved air connectivity and eased visa conditions, Australia is emerging as one of the most sought-after long-haul destinations for Chinese travellers seeking premium summer experiences. Beijing Business Today reported in January that long-haul tour packages to Australia and New Zealand were “basically sold out”, while Tongcheng Travel ranked Australia among the top four outbound travel trends for the New Year period.

Demand is being reflected across both group and independent travel. UniTour International said more than 80 per cent of its Australia and New Zealand group departures during Chinese New Year were already booked by mid-December 2025, while Airbnb data shows searches by Chinese travellers for Spring Festival trips more than doubled year-on-year.

Air capacity is expanding to support the resurgence. China Southern Airlines launched a direct Guangzhou-Darwin service in December 2025, reopening a key northern gateway, while Shenzhen Airlines introduced its first-ever Shenzhen-Melbourne route, adding around 95,000 seats annually. The Victorian Government supported the route through its Industry Partnerships Program, with Melbourne Airport boosting border processing resources in anticipation of higher arrivals.

Shenzhen Airlines chooses Melbourne as first Australian destination

Payment infrastructure is also being strengthened to cater for longer stays and higher spend. UnionPay, which has an extensive acceptance network across Australia, reported solid transaction growth during Chinese New Year 2025 and is preparing for increased activity across accommodation, dining, retail and duty-free in 2026.

“This is going to be the longest Chinese New Year break in history,” UnionPay International executive vice president, South Pacific Division, Michelle Shao, said. “What we saw in 2025 was not a rebound, but a reset to a much higher baseline of travel demand. Chinese tourism data suggests that 2026 might deliver record visitor numbers and record spending.”

Shao said Chinese travellers are increasingly seeking depth of experience, travelling beyond capital cities and favouring seamless, familiar payment options across both major and regional destinations.

Retailers also set to cash in

Retailers are also moving quickly to capture the high-yield market. Weixin Pay (formerly WeChat Pay) has partnered with David Jones to enable mobile payments across all 16 of the department store’s locations in six major Australian cities, including Sydney, Melbourne, Brisbane, Adelaide, Perth and the Gold Coast.

The rollout covers David Jones’ Elizabeth Street flagship in Sydney, plus stores and major shopping centres including Chatswood Chase, plus Chadstone and Doncaster in Melbourne, allowing Chinese tourists and local Chinese residents to shop using familiar digital wallets with real-time exchange rates.

David Jones launches new loyalty program alongside Qantas Frequent Flyer.David Jones launches new loyalty program alongside Qantas Frequent Flyer.
David Jones ambassador Megan Gale at last year’s launch of their new loyalty program with Qantas Frequent Flyer.

“‘Travel the World with Your Mobile Phone’ is not only a vision, but also a real need of Chinese tourists,” Weixin Pay Oceania managing director Monica Zheng said.

David Jones general manager of Financial Services, Steve Price, said enabling Weixin Pay reflects the retailer’s focus on digital innovation and responding to the needs of high-spending Chinese consumers.

To coincide with the holiday period, Weixin Pay has launched a Year of the Horse Chinese New Year campaign running from 9 February to 9 March, offering exchange-rate vouchers and festive incentives.

With Chinese visitor numbers already climbing 29 per cent to approximately 950,000 between June 2024 and May 2025, industry leaders say Chinese New Year 2026 could mark a defining chapter in the full-scale return of Australia’s most lucrative inbound market.

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