KYOTO –
Japan’s tourism business is present process a serious shift one yr after China urged its residents to keep away from touring to Japan, with Chinese customer numbers falling sharply and companies in Osaka struggling to get better misplaced income, whereas Kyoto has efficiently attracted extra Western vacationers by way of a method aimed toward lowering its dependence on the Chinese market.
The downturn started on November 14, 2025, when the Chinese authorities referred to as on its residents to chorus from visiting Japan following remarks by Prime Minister Sanae Takaichi regarding a potential navy battle over Taiwan. Takaichi had advised {that a} Chinese navy operation involving the usage of power may represent a scenario threatening Japan’s survival, probably permitting the nation to train its proper to collective self-defense.
Beijing reacted strongly, warning that anybody trying to cross what it described as a basic crimson line regarding Taiwan would face a forceful response from China. The Chinese Foreign Ministry subsequently issued its journey advisory, triggering a pointy decline in Chinese guests to Japan.
Nearly one yr later, the consequences stay evident in a few of Japan’s best-known vacationer locations.
In Tokyo’s Asakusa district, the place giant numbers of Chinese vacationers may very well be heard talking Mandarin across the Kaminarimon Gate in November 2025, the streets are actually noticeably totally different. Although the world stays crowded with worldwide guests, Chinese vacationers are far much less outstanding.
A neighborhood shopkeeper mentioned the variety of Chinese guests had clearly declined, whereas households from Western international locations gave the impression to be growing.
According to tourism statistics, roughly 430,000 Chinese guests arrived in Japan in September 2026, representing a decline of practically 50% from the identical month a yr earlier.
An skilled accustomed to Chinese affairs mentioned a lot of the decline concerned organized tour teams, significantly these operated by state-owned Chinese journey companies, which have been strongly influenced by Beijing’s place.
The impression has been significantly extreme in Osaka, historically one of the crucial in style locations for Chinese vacationers.
A survey launched by the Osaka Convention & Tourism Bureau in November confirmed that Chinese customer numbers from January by way of September 2026 had fallen to only 36.7% of the extent recorded throughout the corresponding interval in 2025.
In the Dotonbori leisure district, a well-liked takoyaki store established in 1979 has skilled a considerable decline in gross sales.
Matsuda, the store’s deputy supervisor, mentioned Chinese prospects had change into a lot much less frequent. Previously, Chinese may very well be heard nearly in all places alongside the bustling procuring streets, however that was not the case.
He estimated that each day gross sales had fallen by roughly 100,000 to 150,000 yen on account of the downturn.
To compensate, the enterprise has prolonged its working hours and raised some costs, step by step making up a part of the misplaced income.
Accommodation suppliers are going through comparable difficulties.
One Osaka trip rental operator, which affords giant rooms for households and teams, mentioned Chinese vacationers beforehand accounted for roughly 25% of its income. Its properties embody rooms accommodating as much as seven folks and a renovated conventional home able to internet hosting teams of as much as 12.
Following Takaichi’s remarks in November 2025, the proportion of income generated by Chinese visitors dropped under 1%, earlier than falling to nearly zero in 2026.
The operator expects annual income to say no by roughly 60 million yen and has begun promoting extra aggressively in different markets, together with itemizing its properties on South Korean journey web sites to draw new prospects.
In distinction, Kyoto has demonstrated that the disappearance of Chinese vacationers doesn’t essentially translate into an general decline in guests or income.
Arashiyama, certainly one of Kyoto’s hottest locations for autumn foliage, stays crowded regardless of a steep discount in Chinese vacationers.
A survey carried out by the native procuring district confirmed that Chinese guests, who represented a considerable share of international vacationers in October 2025, had nearly disappeared from the world by October 2026.
Nevertheless, native companies reported that general buyer numbers had remained comparatively steady as vacationers from Europe, North America and different areas changed the lacking Chinese guests.
One store operator mentioned the decline in Chinese prospects had been offset by a rise in guests from different international locations, leaving whole foot site visitors largely unchanged.
Western guests interviewed round Kyoto described Japanese delicacies, conventional tradition and historic landmarks as main sights.
One vacationer mentioned Kyoto’s meals was distinctive and described a latest matcha expertise as unforgettable.
Near Kiyomizu Temple, a Brazilian customer named Lucas mentioned his curiosity in Japanese shrines, temples, tradition and delicacies had impressed him to start finding out Japanese and make his first journey to the nation.
He was spending 20 days touring round Japan, together with Tokyo, Mount Fuji and Kyoto, and loved exploring town in a kimono, taking images and taking part in a standard tea ceremony.
Hotels in Kyoto have additionally benefited from the altering composition of worldwide guests.
One lodge operator mentioned the rise in visitors from Europe and North America had greater than compensated for the decline in Chinese prospects, permitting annual income to stay steady or rise barely.
Behind the development is a deliberate technique to draw vacationers who keep longer and spend extra on lodging and experiences.
The lodge underwent intensive renovations a few yr in the past to emphasise conventional Kyoto aesthetics, whereas increasing its collection of pillows and different visitor facilities to enhance consolation.
It additionally invitations a maiko, or apprentice geisha, to carry out conventional dances for visitors roughly as soon as each two days.
Hotel administration mentioned Western vacationers have a tendency to position better worth on the lodging expertise itself, whereas many Chinese group vacationers had beforehand used resorts primarily as locations to sleep between sightseeing actions.
By enhancing amenities and providing cultural experiences, the lodge has been in a position to enhance spending per visitor.
Western vacationers interviewed in Kyoto described plans to spend 16 days and even 31 days in Japan, together with one couple visiting on their honeymoon.
Government tourism knowledge additionally highlights variations in journey patterns and spending.
Chinese guests keep in Japan for a mean of roughly seven days and spend round 250,000 yen per particular person, whereas guests from the United States and France usually keep for greater than 10 days and spend quantities approaching 400,000 yen.
The longer stays and better spending have made Western vacationers an more and more engaging marketplace for tourism companies searching for to cut back their publicity to political tensions between Japan and China.
Arashiyama’s procuring district has additionally modified its promotional technique.
Previously, the district organized occasions aimed particularly at Chinese vacationers, together with celebrations related to Chinese holidays. Those actions have since been reconsidered in favor of campaigns concentrating on a wider vary of worldwide guests.
Local enterprise representatives mentioned they’d lengthy mentioned the significance of attracting prospects from a number of international locations, together with sustaining a robust home tourism market, relatively than relying too closely on any single supply of holiday makers.
The diversification technique has helped Arashiyama maintain customer numbers regardless of the extended downturn in Chinese tourism.
The deterioration in relations between Japan and China has additionally affected industries past tourism, significantly meals exports.
In November 2025, China successfully suspended imports of Japanese seafood, including to present restrictions on meals merchandise originating from 10 Japanese prefectures.
At a Japanese meals export exhibition held in Tokyo in November 2026, producers of meat, seafood, confectionery, sake and different merchandise had been exploring alternatives in abroad markets.
One sake producer from Chiba Prefecture mentioned the restrictions had prevented it from promoting regionally produced Japanese rice wine to China, traditionally one of many business’s most essential export locations.
Although the corporate at present exports to different Asian international locations, the United States and Europe, it stays desirous to regain entry to the Chinese market.
An organization consultant mentioned China’s giant inhabitants and robust demand for Japanese sake made the market too essential to desert, expressing hope that exports may resume quickly.
Another exhibitor selling matcha merchandise additionally emphasised China’s potential, citing its giant inhabitants and substantial variety of rich shoppers as causes to pursue gross sales there.
However, some seafood companies have already tailored to the lack of the Chinese market and are discovering success elsewhere.
One seafood wholesaler mentioned it was not significantly involved about whether or not Chinese import restrictions can be lifted, as enterprise had recovered by way of stronger demand from the United States and Southeast Asia.
The firm initially suffered a decline in gross sales following the restrictions, however subsequent progress in different markets helped restore income.
The contrasting experiences illustrate how Japanese companies are responding in a different way to the extended deterioration in bilateral relations. While some stay longing for Chinese prospects and buying and selling companions to return, others are more and more targeted on constructing extra diversified sources of income.
The financial penalties are additionally being felt in China. An skilled on Chinese affairs mentioned the journey advisory had contributed to monetary losses for Chinese airways, elevating the chance that Beijing may finally undertake a extra pragmatic strategy by separating financial pursuits from political disputes.
Attention is now turning to the Asia-Pacific Economic Cooperation leaders’ assembly scheduled for November 18 and 19 in Shenzhen, China, the place a potential dialogue between Takaichi and Chinese President Xi Jinping may present a possibility to enhance relations.
Whether the 2 leaders can set up a path towards easing tensions stays unsure.
One yr after Beijing’s name to keep away from journey to Japan, the expertise has uncovered the dangers of relying closely on a single abroad market, whereas accelerating efforts throughout Japan’s tourism and meals industries to draw prospects from a wider vary of nations.
Source: FNN