Foreigners return to Shanghai for a good time, not a long time

Foreigners return to Shanghai for a good time, not a long time

Two years after an extended lockdown of Shanghai under the dynamic zero-Covid policy led to an exodus of expatriates, mainland China’s most international city is finally re-embracing a bustle of overseas visitors. More foreigners from a variety of countries have been seen in the city’s main streets and at tourist attractions in recent months, capitalizing on China’s loosening of visa policies to lure back tourists – and their wallets – amid an economic downturn. However, much fewer are opting to stay and work, owing to what some say is a sense of insecurity and relative lack of opportunities that dissuade them from long-term settlement despite Shanghai’s best efforts to shore up its status as an open and inclusive international city – a reputation dating back to the 19th century, following the first Opium War (1839-42).

“The image of China is very slowly changing, but it is changing,” said Marc Guyon, a French national who lives in Hong Kong and visited Shanghai in April for a plastics industry conference. Several French people have been visiting Shanghai because of the visa-free-entry policy that took effect last year and is now due to last through 2025, Guyon said. As part of a charm offensive to lure back foreigners amid a sluggish post-pandemic recovery in overseas tourist returns, the Chinese government in December introduced visa-free stays of up to 15 days for travelers from France, Germany, Italy, the Netherlands, Spain and Malaysia, and extended it to six more European countries – including Belgium – in March. Other relaxations have also been rolled out in recent months, including a policy effective from mid-May that allows all foreigners traveling in tour groups to enter China without a visa through Shanghai and 12 other cruise ports in the country for a stay of up to 15 days. Places of interest – from Yuyuan Garden in central Shanghai to Zhujiajiao ancient town in the city’s outskirts – have been full of tourist groups from overseas in recent weeks.

This followed an already robust recovery in the first four months of the year, when Shanghai received more than 1.23 million foreigners who spent at least one night in the city – a year-on-year increase of 250%, according to the Shanghai Municipal Administration of Culture and Tourism. The total is nearly 70% of the number in the same period in pre-pandemic 2019, according to calculations by the South China Morning Post. While most inbound visits to mainland China last year were made by people from Hong Kong, Macao, Taiwan and East Asian countries such as Thailand and Japan, more visitors now appear to be coming from a broader range of countries.

Dexter Roberts, a U.S. citizen and former Beijing resident, visited eight Chinese cities in April, including Shanghai. He said that, compared with what he had noticed in the past, he saw more Russians, Eastern Europeans, and people from the Global South, but fewer Americans and western Europeans. Official data from the Shanghai government showed that among the 1.185 million foreign tourists to Shanghai in the first quarter, nearly 23% came from European countries included in China's unilateral visa-free policy. Meanwhile, Thailand, Singapore and other countries that have reciprocal visa-free policies with China accounted for 55%. Fifty taxis in Shanghai started accepting foreign credit cards in April. Finding one in a city with more than 50,000 cabs remains difficult, but Chinese authorities have said the service will be expanded to more than 2,000 taxis by November, ahead of the seventh China International Import Expo (CIIE) that is expected to attract many foreigners.

The move reflects how the Shanghai government has been promoting the city as the main point of entry for inbound foreign travelers. This has resulted in more flights from overseas, including from non-Western countries, said Steven Zhao, CEO of the China Highlights online travel agency. Beijing used to be most people’s first choice to enter China for stays of 10 to 15 days, but now many opt for Shanghai, he said.

However, despite the rebound in short-term visitors, few of those who left Shanghai during the pandemic have come back to take up long-term contracts. “None of my friends are back, and they keep on asking me why I have not left yet,” said a British expatriate who has lived in Shanghai for more than a decade and stayed through the lockdowns, doing odd jobs to make ends meet. She said she considers the city her home. But after having worked primarily as an English teacher for years, she is now considering leaving, as job opportunities in education are becoming more rare amid a drop in admissions at kindergartens. She sees this as the result of China’s falling birth rate and the closures of international schools in recent years. “Nowadays, life in China is quite uncertain, especially if you are working in sectors like architecture, education and sales,” she said. “It’s not necessarily the economy, but policies that keep on changing. You never know what will happen or will suddenly close down, and you see yourself forced to leave your whole life here on short notice.” Max Modesti, an Italian citizen who co-owns an 11-year-old Italian restaurant on The Bund in Shanghai, said the 2022 lockdown left a scar on Shanghai and still “weighs on morale and confidence,” the South China Morning Post reports.