December 4, 2025
GEORGE TOWN – With Chinese tourists shunning Japan and Thailand’s Hat Yai, Penang is poised for a year-end tourism bonanza.
Penang tourism committee chairman Wong Hong Wai said Indonesians and Singaporeans, along with Malaysians who normally prefer Hat Yai, are expected to redirect their holiday plans to the state.
“December is traditionally one of the busiest periods, coinciding with the school holidays in both Malaysia and Singapore, and the Christmas and New Year festive break.
“There is already a rise in hotel occupancy and this momentum is expected to continue.
“We have a packed calendar of events, including the Penang Bridge International Marathon on Dec 14 and the Penang Chingay Parade on Dec 20, which always draw strong local and foreign participation,” he said.
According to reports, Chinese tourists cancelled their trips to Japan due to a worsening diplomatic spat between both countries.
The boycott came following remarks by Japan’s Prime Minister Sanae Takaichi that linked the use of military force in any Taiwan conflict with the potential deployment of Japanese troops.
Wong said Penang’s blend of festivals, heritage food and outdoor attractions made it a natural beneficiary of shifting travel patterns, adding that the state currently receives 72 flights a week from seven cities in China.
Between January and September, the number of Chinese visitors rose 90.24% to 161,599 from 84,947 compared with the same period last year, according to data from the Penang Immigration Department.
Malaysian Association of Hotels Penang chapter chairman Datuk Tony Goh predicted an influx of tourists from Dec 10 onwards as many travellers are likely to cancel their trips to Hat Yai and other regional destinations.
“In Hat Yai alone, there are 16,000 hotel rooms. On weekends, the city typically receives around 20,000 visitors from Malaysia and other countries.
“With the city still recovering from floods, Penang can capture some of this diverted tourist traffic,” he said.
Goh added that domestic travellers have turned to Penang as an alternative holiday spot, driving a noticeable pick-up in hotel bookings.
“Hotels are about 40% to 50% booked but I expect occupancy to rise steadily by 5% to 10% every week until the year-end,” he said.
Hotel Neo+ Penang operations director John Kim said occupancy is expected to rise in the coming weeks, mostly through last-minute bookings.
“The year-end Hat Yai crowd may divert to Penang as recovery there will take months.
“For now, the increase is minimal but we expect about a 20% pick-up soon,” he said, adding that the hotel is seeing a mix of local and foreign guests.
Flamingo Hotel by the Beach general manager Ong Hai Leong said Chinese tourists often travel in large family groups, including grandparents and young children.
“Some come to explore our international schools, others simply to enjoy Penang’s food,” he said, adding that Chinese visitors are food-driven and plan their trips around local cuisine.