Home>China’s $45 South Korea tours are driving a race to the bottom

China’s $45 South Korea tours are driving a race to the bottom

11/05/2026|4:59:33 PM|ChinaTravelNews

In a fiercely competitive market, price is the simplest and fastest way to gain an edge.

The Chinese Embassy in South Korea has urged Chinese tourists to choose travel agencies and tour packages carefully and beware of unreasonably cheap tours.

Tour operators specializing in South Korea are increasingly frustrated. Legitimate agencies that play by the rules are being pushed to the brink by rock-bottom tour packages. Even South Korea’s seemingly booming tourism industry is at risk of being undermined by the price war.

Some agencies have resorted to bizarre promotions to undercut competitors, including “free South Korea tours through lucky draws” and offers that let travelers secure a spot for just RMB 199(about USD 30), with the remaining balance payable upon arrival in South Korea.

“If group tours to South Korea keep getting this cutthroat, it won’t be long before travel agencies are paying out of their own pockets and practically begging people to take a trip,” said one industry insider, sighing.

How did China’s group tour market to South Korea become trapped in such a race to the bottom?

Three factors help explain the trend: visa-free entry, increased flight frequencies and Japan losing ground as a destination.

In the first nine months of 2026, mainland Chinese travelers made 5.47 million trips to South Korea, up 29.2% year on year.

In a fiercely competitive market, price is the simplest and fastest way to gain an edge.

But the proliferation of rock-bottom tour packages is inflicting increasingly serious damage on the tourism industries of both China and South Korea.

“We have been gradually giving up on the South Korea group tour business,” said another industry professional, expressing frustration at how legitimate travel agencies are being driven out by competitors willing to slash prices without limits.

Low-cost tour operators are not only squeezing out legitimate Chinese travel agencies; they are also threatening to undermine South Korea’s tourism industry itself.

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