China's consumer market showed strong momentum during the recent May Day holiday, marked by a surge in travel activity and booming sales across major retail and dining sectors.

The twin boom in travel and consumption highlights not only the vitality of the holiday economy, but also underscores the vast potential of China's broader economic landscape, according to experts.

During the holiday, which lasted from May 1 to 5, nearly 1.5 billion cross-regional trips were made nationwide, according to the Ministry of Transport, as people embraced both domestic and cross-border travel to make the most of their leisure time.

Domestic trips during the holiday reached 314 million, marking a 6.4 percent year-on-year increase, while travel-related spending rose by 8 percent to 180.27 billion yuan ($25 billion), official data showed.

According to data from online travel agency Qunar.com, first-time flight bookings during this year's May Day holiday surged by over 30 percent year-on-year, while passenger volume among the 60-80 age group saw a remarkable 40 percent increase compared to the same period last year.

Long-distance and in-depth travel gained significant traction during the five-day holiday.

Meanwhile, other leisure activities like rain forest hiking, desert camel riding and stargazing while camping have grown increasingly popular, becoming top choices among holidaymakers.

Boosted by preferential policies such as tax refunds for overseas visitors and expanded visa-free entry, China's appeal as a travel destination continues to grow. According to online travel giant Trip.com, inbound tourism bookings during the holiday surged by 130 percent year-on-year, driven largely by demand for cultural experiences and a wide array of travel options that attract international visitors.

Fang Zeqian, an industry analyst with Trip.com, said that the holiday travel data reflect a shift in China's tourism consumption from sheer volume to a focus on quality-driven growth.

The rise of emerging trends such as county and rural tourism — characterized by travelers opting for smaller cities and rural destinations — has helped ease pressure on traditional tourism hot spots while reflecting the market's growing appetite for unique and differentiated experiences, according to Fang.

According to data from the Ministry of Commerce, sales at key retail and catering enterprises nationwide rose by 6.3 percent year-on-year during the holiday.

Platform data also revealed that dine-in orders for local specialty dishes, driven by tourists, saw a remarkable 105 percent year-on-year increase during the holiday. Many hotels reported full occupancy, with online platform Meituan achieving record-high hotel booking volumes, contributing to a 14.9 percent year-on-year rise in hotel accommodation consumption.

Local governments capitalized on the May Day holiday to stimulate consumption. For instance, Beijing launched more than 100 themed activities, while Changsha allocated 10 million yuan in car purchase subsidies for individual consumers.

"We will organize more trade-in programs during key holidays like May Day to spur consumption. With the continued implementation of consumption-boosting policies, the market is expected to maintain stable growth, providing strong support for economic recovery," said an official of the Ministry of Commerce.

Xinhua - China Daily