What: Thailand is counting a lot on Chinese tourists who are not yet back in the country.

Why it is important: Thai retailers are gearing up to propose new experiences, but they need a critical traffic mass to be sustainable.

Despite lifted COVID-19 restrictions and a visa waiver, anticipated Chinese tourism recovery hasn't materialized, with fewer than expected arrivals and ongoing safety concerns. The industry is now shifting focus from the once-criticized "zero dollar tourism" groups to more affluent travelers and niche markets like LGBTQ+ visitors, who see Thailand as a freer, more open society. But overall, the Thai tourism sector still grapples with challenges including a reduced number of low-cost flights, a slower Chinese economy, and negative perceptions fueled by social media and films like "No More Bets," which depict Southeast Asia as dangerous. Despite these setbacks, Thailand continues to recognize the importance of Chinese tourists, who are among the highest spenders in the country.

Chinese tourists are not yet back to Thailand and it might last for a while