What: Asian tourists are coming back to Japan now that borders are reopened and they contribute to a surge in travel retail sales.

Why it is important: Chinese tourists are still unseen and they remain vital for the economy to fully recover.

The Japan Times reports that the duty-free sales have soared by twenty times compared to 2021 now that the border closure was lifted in October 11. Many overseas luxury shoppers are reported to be seen in the department stores floors, which, in order to be able to accommodate such a surge, have equipped their employees with a number of translation machines.

Tourists are coming mainly from Hong Kong, Taiwan and South Korea. Mainland Chinese nationals are still scarce, however, which is a concern for the overall level of recovery, since the sales level, even though they improved, remain still far from the 2019 levels.

Duty-free sales soar in Japan following the borders reopening