Weak Recovery: South Korea & China Laggards in Philippine Tourism

In August 2025, the Philippines recorded 457,438 foreign visitor arrivals, down from 508,726 in July and about 3.2 % lower year-on-year, signaling that tourism recovery is facing headwinds. The decline was largely dragged by sharp drops in arrivals from its two key East Asian markets: South Korea and China.

South Korean arrivals numbered 118,681 — broadly unchanged from July but down 18.4 % compared with August 2024 — while Chinese visitors (23,088) fell 9.7 % month-on-month, though they did show an 8.4 % gain over August 2024. Over the first eight months of 2025, total visitation to the country dipped 1.56 % to 3,963,794; foreign arrivals alone fell 2.78 % to 3,602,338, though returning overseas Filipinos rose 12.5 % to 361,456.  

Analysts point to several structural and external factors behind the softness. The South Korean slump is often attributed to regional political tensions and currency pressures that dampen outbound travel demand. Meanwhile, China’s slower-than-anticipated travel rebound, constrained by economic pressures and domestic policy shifts, has restricted outbound flows. The Philippines’ reliance on a few “core” source markets thus exposes its tourism sector to volatility. To build resilience, tourism stakeholders are now arguing for more diversified market outreach, aggressive marketing to rising markets (e.g. India, Southeast Asia, Middle East), and enhanced destination offerings to attract non-traditional sources.