International visitor spend in Australia rose 20 per cent and visitation grew 10 per cent in a strong tourism rebound as the Australian Tourism Export Council (ATEC) flags complacency.
The latest Tourism Research Australia International Visitor Survey for the year ending March 2026 shows inbound visitor spend up 20 per cent, visitor numbers up 10 per cent and holiday travel expenditure up 17 per cent with China leading recent growth.
It is an inbound result, but one that shapes the broader trade picture: stronger arrivals underpin aviation capacity, hotel investment and the connectivity Australian advisors also rely on for outbound itineraries.
The Australian Tourism Export Council (ATEC) attributes China’s strong momentum in part to an extended Lunar New Year travel period despite global disruptions earlier in the year.
Which markets are driving the growth
ATEC Managing Director Peter Shelley said ATEC members continue to report strong international interest across China, India, Southeast Asia, Europe, the UK and the USA.
“These are positive results and demonstrate Australia remains highly attractive to international travellers with strong growth in both visitor numbers and holiday spending across many of our key markets,” ATEC’s Shelley said.
“It is particularly encouraging to see continued growth despite global disruptions earlier this year, including the initial impacts of instability in the Middle East, as well as strong performance from China driven by the extended Lunar New Year travel period.”
Why the spending number needs context
Shelley cautioned that part of the spending lift reflects higher travel costs and inflation rather than pure demand growth.
“While visitor spending growth is encouraging, it is important to recognise part of that increase also reflects higher travel costs and inflationary pressures, meaning expenditure growth alone does not tell the full story,” he said.
“Our members continue to report strong international interest across key markets; however, converting that demand into confirmed bookings remains increasingly competitive in a rapidly changing global environment.”
Where the competitive risk lies
Shelley said policy decisions could weaken Australia’s standing as rival destinations invest aggressively in attracting visitors and strengthening aviation access with China itself on track to become the world’s leading travel and tourism economy.
“At the same time, Australia is facing policy decisions that risk weakening our competitive position – reducing investment in tourism marketing and increasing departure tax, making travel to Australia more expensive – sending the wrong signal at a time when protecting market share has never been more important,” he said.
“International tourism remains one of Australia’s most valuable export industries, and these results show what can be achieved when Australia remains focused on growing global demand. The priority now must be ensuring we maintain that momentum.”
KARRYON UNPACKS: A 20 per cent spending lift and double-digit arrivals growth confirm Australia’s inbound tourism recovery with China back. For advisors, it’s about ongoing connectivity and investment as ATEC warns that a higher departure tax and reduced marketing budgets could affect momentum.
