China’s AI-Powered Tourism Revolution Takes Center Stage at 2025 Xianghu Dialogue – TRI Exclusive Report

Hangzhou, China (TRI) – Artificial intelligence is no longer a supporting actor in tourism; it has taken center stage, according to industry leaders who gathered this week at the 2025 Xianghu Dialogue of the World Tourism Alliance.

Held under the theme “Beyond Boundaries: Exploring Infinite Possibilities of Tourism,” the two-day summit brought together nearly 400 senior representatives from 30 countries and regions, including UN Tourism, national tourism administrations, leading OTAs, and global payment giants. The overwhelming consensus: AI is no longer an enhancement – it is the core operating system of modern tourism.

Breakthrough AI Tools Already in Action

Fliggy, Alibaba Group’s travel platform, showcased its flagship AI travel assistant “AskMe,” launched in April 2025. The system uses multiple specialized AI agents that can:

• Instantly recognize cultural relics, temples, or architectural landmarks from user-uploaded photos
• Provide detailed historical and cultural context in the traveler’s preferred language
• Dynamically rebuild entire itineraries to include nearby hidden gems, local food experiences, and sustainable transport options

Executives described the tool as the first to deliver “luxury-concierge quality at scale,” effectively democratizing services that once required private guides costing thousands of dollars per day.

Inbound Tourism Surge Fueled by Policy + Technology

A landmark 2024-2025 Cross-Border Tourism Consumption Trends Report, jointly released at the Dialogue by the World Tourism Alliance, Mastercard, and Trip.com Group, revealed that China’s expanded 144-hour and 240-hour visa-free transit policies introduced since mid-2024 have triggered a dramatic rebound in foreign arrivals.

Key findings from the report:

• Cultural immersion has overtaken traditional sightseeing as the primary motivation for inbound visitors
• Younger demographics (Gen Z and millennials) are driving demand for authentic local experiences: night markets, village festivals, hiking routes, and low-carbon accommodations
• Cities hosting major 2025 events are seeing the strongest uplift – Harbin ahead of the 9th Asian Winter Games and Chengdu before the 12th World Games have recorded triple-digit percentage increases in international search and booking volume, powered by AI-targeted social media and programmatic advertising campaigns

Economic Impact: Trillion-Dollar Projections

The World Travel & Tourism Council (WTTC) projections presented at the event underscore the sector’s growing weight:

• Global contribution by 2035: US$16.5 trillion (11.5% of worldwide GDP)
• China-specific forecast: >27 trillion yuan (approximately US$3.81 trillion), equating to 14% of national GDP
• Employment impact in China: sustaining >100 million existing jobs and creating nearly 20 million new positions over the next decade

Voices from the Top

• Zhuang Zhuoran, CEO of Fliggy: “Tourism will always be people-centered. AI’s mission is to make authentic, emotionally resonant experiences available to everyone, not just the ultra-wealthy.”
• Wang Wei, Senior Vice-President, Trip.com Group: Highlighted internal efficiency gains (AI-optimized contact centers) and consumer-facing innovations such as predictive trend engines that recommend water sports to adventure-seeking beachgoers or resorts with dedicated children’s programs to families.
• Sun Hui, Secretary-General, Tencent Culture and Tourism Research Institute: Described a “full value-chain transformation” already underway in museums, scenic areas, and cultural institutions through intelligent assistants, virtual docents, and mixed-reality installations.
• Sarah Wang, Regional Director Asia-Pacific, WTTC: Praised China’s mature digital payment ecosystem and noted that layered with AI, AR, and VR capabilities, it is setting a new global benchmark for frictionless travel.

The Bigger Picture

The 2025 Xianghu Dialogue made one thing unambiguous: the combination of bold visa liberalization, world-class digital infrastructure, and aggressive AI deployment has positioned China as the new gravitational center of global tourism innovation.

For international destinations and operators, the message is direct – adapt to AI-driven personalization and authentic experiential demand, or risk being left behind in the next decade of travel.

TRI will continue monitoring real-time implementation of these technologies across Asia and beyond.