(C) World

SEOUL – A significant diplomatic "thaw" between Seoul and Beijing, coupled with China's extended visa-free policy, is fueling a rapid resurgence in outbound tourism to China. South Korean travel agencies are now locked in a fierce competition to capture this burgeoning market by diversifying their portfolios and launching aggressive promotional campaigns.

Diplomatic Momentum and Data Surge
According to industry data released on January 25, the impact of high-level diplomacy is clearly reflected in traveler numbers. Very Good Tour reported that between January 5 and 21—immediately following President Lee Jae-myung’s state visit to China—the number of package tour reservations reached 7,351, representing an 87.8% increase compared to the same period last year.

Specifically, interest in Shanghai surged by 142.4%, a trend attributed to President Lee’s high-profile visit to the historic site of the Provisional Government of the Republic of Korea in the city. "The psychological barriers for travelers have lowered significantly due to the 'thawing mood' established by summit diplomacy," a spokesperson for Very Good Tour noted.

Shifting Demographics: From Mountains to Metropolises
The landscape of Chinese tourism is also undergoing a demographic shift. Yellow Balloon Tour observed that while traditional destinations like Mt. Paektu and Zhangjiajie remain popular among middle-aged travelers, there is a rising demand for short-term urban trips to cities like Beijing and Shanghai among younger generations. For the upcoming Lunar New Year holiday, China-bound trips accounted for 16.5% of the agency's total package sales, a notable recovery in market share.

Industry Response: Strategic Diversification
Major travel firms are recalibrating their strategies to meet this multi-generational demand:

Hana Tour: The industry leader is segmenting its products to target the "2030 generation" (those in their 20s and 30s). While maintaining scenic tours for seniors, it has expanded urban and "exotic city" packages for youth. The company is also investing in local infrastructure, including operating food trucks at Mt. Tianmen and opening a VIP lounge at the airport. Its newly established Shanghai branch aims to secure direct contracts with local hotels and attractions.
Modetour: Focusing on "metropolitan expansion," Modetour is increasing flights to major cities to offer more flexibility for independent travelers (FIT). It is also emphasizing "Signature Packages" that eliminate forced shopping and optional tours to ensure high-quality experiences.
Very Good Tour: The company recently formed a dedicated team for new product development, expanding its Shanghai offerings from 3 to 8 distinct themes, including packages that feature Disney Resort and one-day free schedules.
Yellow Balloon Tour: Utilizing its live commerce channel, "Yello LIVE," the agency is promoting high-end packages featuring direct flights and 5-star hotels. It is also targeting regional demand with departures from Busan for tours of China's most scenic landscapes.

Outlook for 2026
Industry experts predict that the popularity of China as a travel destination will remain robust throughout the first half of 2026. With the Lunar New Year serving as a springboard, travel agencies are preparing a series of special exhibitions to capitalize on the upcoming spring holidays. As political tensions ease and logistical ease increases, China is positioned to reclaim its status as a primary destination for South Korean tourists.