Top 15 attractions in Beijing, China

Beijing, the capital of China, is undoubtedly one of the most visited places in the world, with hundreds of millions of tourists every year. The city's long history and glorious culture endow the city with a great number of tourist attractions and historical sites. For a short stay in Beijing, visiting all the interesting places is impossible, but don't miss the following top 15 attractions.

The Forbidden City（紫禁城/故宫）

Also known as the Imperial Palace, or the Palace Museum, the Forbidden City was the place where the emperors of the Ming and Qing dynasties carried out their administration and lived. Now it is open to the public as a palace museum where people can see the great traditional palace architecture, enjoy the treasures kept in the palace, and learn of the legends and anecdotes of the imperial family and the court.

The Forbidden City is the largest and best-preserved mass group of palaces in China. The palaces are fully walled on four sides by 10-meter-high walls which extend 760 meters (0.47 miles) from east to west and 960 meters (0.6 miles) from north to south. It has 720,000 square meters (72 hectares) of courtyards, pavilions, great halls, flourishing gardens and nearly 10,000 rooms. Built by tens of thousands of people, it took over 14 years and 32 million bricks to complete.

The entire complex sits on a north-south axis, with halls and houses symmetrically arranged on the side. It consists of three parts: the outer court where the emperor received high officials and administered state affairs; the inner court where the emperor, empress and concubines lived; and the private Imperial Garden for the imperial family to entertain and relax.

The Forbidden City became a UNESCO World Heritage Site in 1987.

Admission: 60 yuan (US$9.46)/person (summer);
40 yuan (US$6.31)/person (winter)

Tian'anmen Square（天安门广场）

Tian'anmen Square measures 500 meters (0.31 miles) from east to west and 880 meters (0.55 miles) from north to south. Covering an area of 44 hectares, the square is big enough to hold half a million people. It is the largest city square in the world.

It was named after the Tian'anmen (literally, Gate of Heavenly Peace) which stands on its north side. Tian'anmen is the front gate of the Forbidden City, the gate leading to the supreme power in imperial times.

The tower over the gate was used for grand ceremonies in the Ming (1638-1644) and Qing (1644-1911) dynasties, for instance, issuing imperial edicts. In modern China, it is also a symbol of power. From the tower of Tian'anmen, on October 1, 1949, Chairman Mao Zedong proclaimed the founding of the People's Republic of China.

In the square stand the 38-meter high Monument to the People's Heroes completed in 1958, and the Mausoleum of Mao Zedong completed in 1977. The square lies between two ancient, massive gates: the Tian'anmen to the north and the Zhengyangmen, better known as Qianmen, to the south. Along the west side of the square is the Great Hall of the People. Along the east side is the National Museum of China.

Admission: Free

The Great Wall（长城）

"You are not a true man if you have not been to the Great Wall." So the saying goes in China. The Great Wall, it is said, is one of the few man-made objects on earth visible from space.

From Shanhaiguan, northeast of Qinhuangdao City in Hebei Province on the east coast, the Great Wall rises and falls with the contours of the mountains spanning westwards, crossing nine provinces, municipalities and autonomous regions over 6,700 kilometers (4163.19 miles), to end at Jiayuguan, southwest of Jiayuguan City in Gansu Province.

The Great Wall was a daunting defensive project used in ancient times as early as in the 7th century B.C.

For self-protection, rival kingdoms built walls around their territories, laying the foundation for the present
Great Wall. When Emperor Qin Shihuang unified the whole country in 221 B.C., the existing walls were linked up and new ones added to counter attacks by the remnants of defeated states.

The Great Wall comprises walls, passes, watchtowers, castles and fortresses. The walls are made of large stone blocks. From east to west, the sections at Shanhaiguan, Jinshanling, Mutianyu, Badaling and Jiayuguan have become popular tourist attractions.

Most of The Great Wall that we see today dates back to the Ming Dynasty. The best-preserved and most imposing section is at Badaling in Beijing. This section, located at the head of the Juyongguan Pass, is made of large blue bricks and has an average height of 7.8 meters. Five to six horses can be ridden abreast along it. At regular intervals there is an arched door giving access to the top of the wall. The walls feature regular lookout holes, window embrasures and castellated crenels. Beacon towers for passing on military information also appear at fixed intervals. All of these emphasize the important role of the Great Wall in military defense.

As one of the most magnificent ancient defense works, the Great Wall was included in the World Cultural Heritage List in 1987.

Admission (Badaling Great Wall): 45 yuan (US$7.09)/person (summer);
40 yuan (US$6.3)/person (winter)

The Summer Palace（颐和园）

The Summer Palace lies in the northwestern outskirts of Beijing, about 5 kilometers (3.11 miles) northwest of Beijing University. Occupying an area of 290 hectares, the park consists mainly of a hill, called Longevity Hill and a lake, Kunming Lake, with halls, towers, galleries, pavilions, bridges and islands dotted all over the land, hill and lake. Blending southern China-style garden architecture with northern China's natural landscapes, the gardens are probably the best of their kind in Chinese garden architecture.

In December 1998, UNESCO included the Summer Palace on its World Heritage List. It declared the Summer Palace an "outstanding expression of the creative art of Chinese Landscape Garden Design, incorporating the works of humankind and nature in a harmonious whole."

The Summer Palace began as the Garden of Clear Ripples in 1750. Artisans reproduced the Garden Architecture styles of various palaces in China. The palace complex suffered two major attacks - during the Anglo-French allied invasion of 1860, and during the Boxer Rebellion, in an attack by the eight allied powers in 1900. The garden survived and was rebuilt in 1886 and 1902. In 1888, it was given its current name. It served as a summer resort for the Empress Dowager Cixi, who diverted 30 million taels of silver, said to be originally designated for the Chinese navy, into the reconstruction and enlargement of the Summer Palace.

Admission: 30 yuan (US$4.73)/person (summer);
20 yuan (US$3.15)/person (winter)

Ming Tombs（明十三陵）

The Ming Tombs lie at the foot of Tianshou Mountains, about 50 kilometers (31.07 miles) northwest of Beijing, in Changping District. Thirteen of the sixteen Ming emperors were buried here, so that the Ming Tombs are known in Chinese as Shisanling (Thirteen Tombs).

The tombs are spread over an area of over 40 kilometers (24.85 miles) in circumference. The site was chosen by the third Ming Dynasty (1368-1644) Emperor Yongle, who moved the capital of China from Nanjing to the present location of northwest Beijing.

The Ming Tombs were listed as a UNESCO World Heritage Site in August 2003. They were listed along with other tombs under the "Imperial Tombs of the Ming and Qing Dynasties" designation.

Admission (Dingling Tomb): 60 yuan (US$9.46)/person

Temple of Heaven（天坛）

The Temple of Heaven, literally the Altar of Heaven, is a complex of Taoist buildings situated in southeastern Beijing. The Emperors of the Ming and Qing dynasties (1368-1911) visited the complex annually when they prayed to Heaven for good harvests. It is regarded as a Taoist temple, although Chinese Heaven worship, especially by the reigning monarch of the day, actually pre-dates Taoism.

The temple complex covers an area of 270 hectares, about three times the size of the Forbidden City. The main buildings in the park were built in 1420 during the Ming Dynasty (1368-1644) by Emperor Yongle for worshipping the heaven and the earth. The complex was extended during the reign of Emperor Jiajing in the 16th century and was renovated in the 18th century by Emperor Qianlong.

The temple was included in the UNESCO World Heritage List in 1998.
Admission: 15 yuan (US$2.36)/person (summer)
10 yuan (US$1.58)/person (winter)

Beihai Park（北海公园）

Located to the west of the Forbidden City and Jingshan Park, Beihai (literally the Northern Sea) Park is one of the oldest, largest and best-preserved ancient imperial gardens in China. It was the former palace of emperors for successive dynasties.

The park covers an area of 68 hectares, half of which is covered by a lake. The park's landscape includes artificial hills, pavilions, halls, temples and covered corridors, and is one of the best examples of China's classical gardens. It is a combination of the grandiosity of northern Chinese gardens and the refinement of gardens found in southern China.

Towering over the central islet is the 36-meter-high White Dagoba, and is an impressive sight that dominates the local skyline.

Beihai Park was opened to the public in 1925.

Admission: 10 yuan (US$1.58)/person

Yuanmingyuan Park（圆明园）

Yuanmingyuan Park, which was extolled as the "Garden of Gardens," used to be a summer palace for the imperial family. The palace was continuously expanded under five emperors' supervision in Qing Dynasty (1644 - 1911), and its expansion continued for over 150 years.

Its glorious past might have come to an abrupt end as its buildings were destroyed by the British and French armies during the Second Opium War in 1860.

The massive imperial compound is now a beautiful park filled with lakes and a wide variety of plant life. To show the original appearance of the park to the visitors, part of its ancient architecture has been restored.

Admission: 10 yuan (US$1.58)/person

Hutong（胡同）

In the rich and historical culture of Beijing, the Hutong has a very special and important position. It is one of the most distinctive features and must-see attractions in Beijing.

The word hutong came from the Mongolian language about 700 years ago. According to research, it originates from the word hot-tog in Mongolian meaning "water well". Where there was a spring or well, there were residents. The word hottog became hutong after it was introduced into Beijing.

Hutong means lane and alley, smaller than a street. It is in fact the passage formed by lines of siheyuan where most Beijing residents live. One hutong connects with another, and siheyuan connects with siheyuan, to form a block, and blocks join with blocks to form the whole city.

There were 459 hutongs in the Ming Dynasty (1368-1644) and 978 hutongs in the Qing Dynasty (1644-1911). The present number is 1,316 in the urban and suburban districts of Beijing.

To get a better experience of the unique culture of ancient Beijing, you are suggested visit a few of Beijing's Hutongs. The famous ones include: Nanluoguxiang, Yandaixiejie, Mao'er Hutong and Guozijian Street.

Admission: Free

Also read: Top 10 most attractive hutongs in Beijing

Lama Temple（雍和宫）

If you go on the northern section of the Second Ring Road, you will pass a lamasery with red walls and yellow tiled roofs near the flyover of Andingmen. This is the Lama Temple, or the Yonghegong Lamasery, also known as the Harmony and Peace Palace Lamasery. It is a renowned lama temple of the Yellow Hat Sect of Lamaism.

The lamasery, built in 1694, was originally the residence of the Qing (1644-1911) Emperor Yongzheng before he ascended the throne. Since imperial residences could not revert to secular use according to law, half of it was converted to a lamasery and the other half remained as a temporary palace residence after the Emperor Yongzheng moved into the Forbidden City.

Lama Temple features five large halls and five courtyards with beautifully decorative archways, upturned eaves and carved details. It houses a treasury of Buddhist art, including sculptured images of gods, demons and Buddha, as well as Tibetan-style murals.

When Emperor Yongzheng died in 1735, his coffin was placed in the temple. Emperor Qianlong, his successor, then upgraded Yonghegong to an imperial palace and its green tiles were thus changed to yellow tiles (yellow was the imperial color of the Qing Dynasty). This is why a temple like Yonghegong had such a high status in imperial times. Not long afterwards, the temporary palace was burned down, and the other half was formally declared a lamasery in 1744, which became a residence for large numbers of monks from Mongolia and Tibet.

Yonghegong was opened to the public in 1981.

Admission: 25 yuan (US$3.94)/person

Bell and Drum Towers（钟鼓楼）

Situated in central Beijing and south of the northern section of the Second Ring Road, the Bell Towers and Drum Towers are prominent landmarks symbolizing the ancient capital city. Both structures were built in 1272 under the reign of Kublai Khan during the Yuan Dynasty (1271-1368).

Bells and drums were originally used as musical instruments in China, and later they were used for telling time. These towers stood at the very heart of the Yuan capital, known as Dadu. They used to be the time-telling center of the capital city during the Yuan, Ming and Qing Dynasties (1271-1911).

In both the Drum and Bell Towers, visitors can climb the steep stairways to the top to have a panoramic view over the city. Drum performances take place every hour in the Drum Tower.

Admission: Bell Tower: 15 yuan (US$2.37)/person

Drum Tower: 20 yuan (US$3.15)/person

Bird's Nest and Water Cube（鸟巢、水立方）

As Beijing dazzled the world with the spectacular Olympic Games in 2008, the impressive Olympic structures, Bird's nest and its neighboring Water Cube, have become popular attractions ever since.

The Bird's Nest, officially known as the National Stadium, is the main track and field stadium for the 2008 Summer Olympics, and gained the nickname for its innovative grid formation.

The twig-like structural elements and the bowl-shaped roof are the masterpiece of the project, yet they pose great challenges for technicians and workers to make the building stand on its own feet.

The ground was broken in 2003, and the construction took more than four years to complete. It was built with 36 kilometers (22.37 miles) of unwrapped steel, with a combined weight of 45,000 tons. The stadium has some 11,000 square meters (1.1 hectares) of underground rooms with waterproof walls. The stadium can seat as many as 91,000 spectators.

What located right next to the National Stadium is the Beijing National Aquatics Center, also colloquially known as the Water Cube.

The center was built alongside the stadium in the Olympic Green for the swimming competitions of the 2008 Summer Olympics. Despite its nickname, the building is not an actual cube, but a rectangular box. The ground was also broken in 2003, and completed and handed over for use in 2008. Swimmers at the Water Cube broke 25 world records during the 2008 Olympics.

After the Olympics, the building underwent a 200-million-yuan (US$31.53 million) revamp to turn half of its interior into a water park. The building officially reopened on August 8, 2010.

Admission: Bird's Nest: 50 yuan (US$7.88)/person

Water Cube: 30 yuan (US$4.73)/person

Houhai（后海）

Located opposite to the north gate of Beihai Park, Houhai scenic area encompasses a lake and its surrounding area in central Beijing. Due to its proximity to the Forbidden City, this area was historically home to court officials and the city's elite. In recent years it has become famous for nightlife because it is home to many popular restaurants, bars, and cafes.

Historic sites include the Drum and Bell Towers, and former residences of literati and court officials, including revolutionary author Guo Morou, Song Qingling, Sun Yat-sen's widow, and Chinese author, Mao Dun. Prince Gong's Mansion, a courtyard home that housed He Shen, a corrupt member of Emperor
Qianlong's imperial guard, can also be found in the area.

Aside from the alleyways and historic sites, what attracts most people is the variety of bars and restaurants. Lotus Lane and Yandai Xiejie are two popular strips along Qianhai Lake. The strip along the western bank of Qianhai and Houhai lakes is also popular, as well as the renovated Nanluoguxiang Hutong, east of the lake.

Admission: Free

Panjiayuan Antiques Market（潘家园）

Situated west of Panjiayuan Bridge and south of the East Third Ring Road, the Panjiayuan Antiques Market is Beijing's most famous antique market, growing from its humble beginnings as a flea market in the early 1990's.

All manner of antiques are on sale among the thousands of market stalls. Paintings, calligraphy works, ceramics, jade, furniture, coins, army surplus, Buddhist artifacts are all available. If you are not an expert, simply wandering around the 40,000 plus stalls is just as much fun!

The market is specially animated on weekends when the permanent stalls and shops are joined by vendors setting out their wares on the ground. Get there early.

Admission: Free

National Museum of China（国家博物馆）

The National Museum of China, located on the east side of the Tian'anmen Square in central Beijing, was founded in 2003 after a merger between the former National Museum of Chinese History and the National Museum of Chinese Revolution.

Covering nearly 200,000 square meters, the museum is now the largest museum in the world with first-class facilities. It holds a collection of 1.2 million pieces of cultural relics in forty-eight galleries. There are two permanent exhibitions: Ancient China and The Road of Rejuvenation, and more than a dozen categories of display related to thematic exhibitions and international exchange exhibits.

The museum also hosts special exhibitions on Chinese ancient art, such as bronze, porcelain, jade articles, Buddhist statues, furniture of Ming and Qing dynasties (1368-1911), ink painting and calligraphy.

One of the museum's most valuable collections is Si Muwu bronze quadrate vessel, 1.33 meters high and about 833 kg in weight, dating back to about 3,500 years ago.

Group visitors need to book in advance while individuals can get tickets at the entrance for free.

Admission: Free

Source: china.org.cn via China Daily

Hard Rock banks on golf for China hotels

Rock music enjoys a niche following in China. So does golf.

Now they're being welded together in attempt to attract Chinese tourists.

Hard Rock International is swinging into mainland China, partnering with golf resort-operator Mission Hills.

The Florida-based hospitality company will open the mainland's first two Hard Rock Hotels by 2015 to let the nation's well-heeled tourists live, eat and party like rock stars. (Outside of the mainland, Macau already houses a Hard Rock Hotel.)

The two new hotels will be located in Mission Hills' golf and leisure complexes: the 150,000-square-meter Mission Hills Centreville in Shenzhen and the 80-square-kilometer, 10-course Mission Hills Hainan resort.

The combined construction cost for the two properties is expected to be RMB 900 million (US$142.7 million).

New experience for Chinese

Ken Chu, chairman and CEO of Mission Hills Group, said the company chose to work with Hard Rock because he wanted to introduce the mainland to a brand that "people have not experienced."

By bringing the music-theme hotel brand to his Shenzhen resort, Chu said he hoped to develop a comprehensive tourism complex.

The 22-story Hard Rock Hotel Shenzhen will contain 280 rooms while the Haikou property will host 250 rooms.

Both hotels are expected to keep the brand's traditional rock-influenced interiors and facilities such as a recording studio.

According to Mission Hills, each hotel will have a “signature restaurant,” but the company did not confirm whether or not this would be a Hard Rock Café.

Hard Rock already has a golf course at the Hard Rock Hotel & Casino Punta Cana in the Dominican Republic, where guests can play the 18-hole course designed by U.S. golf legend Jack Nicklaus.

Public reactions

Golf and rock draw different fans in China: golf appeals to affluent executives, while rock draws aspiring, rebellious youngsters. So is their marriage facing a promising future in China’s tourism market?

Eheart Chen, 35, is a Shanghai-born singer and a fan of British Rock. Chen said he has heard of Hard Rock Café, but not the hotel.

“But I’d definitely be interested to stay at the hotel if it’s not too expensive,” said Chen, who names The Smiths as his favorite band.

"Rock fans in China usually do not have a very high spending power," added Chen.

Wang Jing (王京), senior hotel business director at travel booking site Qunar, said such rock-themed hotels would definitely become popular among young Chinese travelers, but their locations would be critical to their business.

Wang said he would expect to see the hotels being built around music conservatories, bar areas, concert halls and stadiums -- in short, places that already draw lots of music fans.

Jenny Lo, 33, a seasoned hotel branding consultant, said mainland Chinese travelers are receptive to distinctively different hotel experiences.

“But with the two upcoming properties being in golf resorts, that may change the dynamics,” added Lo.

“They may appeal to families, and I do not think they will be as attractive to young individual travelers.”

Hard Rock and Mission Hills are yet to announce the room rates of the two Hard Rock Hotels in China, but the nightly rate at Hard Rock Macau usually starts from MOP 2,000 (US$250).

Source: CNN Go

Dunhuang desert to bring record high tourism

Tourists travel on camels along the desert near Crescent Moon Lake, a well-known scenic spot in Dunhuang, Gansu province, Sept 26, 2012. The city has attracted 2.15 million tourists as of the end of August, generating 1.85 billion yuan ($293.3 million) in revenue, up more than 40 percent from a year earlier. The number of tourists is projected to hit a record high of 3.1 million by the end of this year, according to the Dunhuang Travel Agency. [Photo/Xinhua] 

Tourism to be leading industry along Silk Road

XI'AN -- Tourism will become one of the leading industries along the Silk Road economic belt, which covers western China, central Asia and Europe, according to officials and experts.

The road has great charm and tourism will be a leading industry for the Silk Road economic belt, said Pavlos Geroulanos, former Greek tourism and culture minister.

But some barriers need to be overcome first. It will be very convenient if more than 20 countries along the Silk Road have the E-visa service, Geroulanos said at a tourism conference held during the Euro-Asia Economic Forum which ended on Saturday in Xi'an, capital of Northwest China's Shaanxi province.

During his visit to Kazakhstan in early September, Chinese President Xi Jinping put forward the proposal of a Silk Road economic belt to deepen cooperation and make economic ties closer among European and Asian nations.

The Silk Road refers to the land trade route opened when Zhang Qian was sent west on a diplomatic mission more than 2,000 years ago. Starting from the old city Chang'an, known today as Xi'an, the ancient road ran through Northwest China's Gansu province and Xinjiang Uygur autonomous region, and Central and Western Asia, before reaching the Mediterranean.

Xi'an, the start of the ancient road, should take the lead in tourism development, said Pan Qiuling, head of the Tourism School at Xi'an International Studies University.

Xi'an served as the capital of more than ten dynasties in ancient China, including the Qin Dynasty (221-206 BC) and the Tang Dynasty (618-907). The city boasts world-famous tourism sites such as the Museum of Qin Shihuang Terracotta Warriors and Horses.

In the first half of this year, 43.6 million tourists visited Xi'an, including 530,000 from overseas.

Along the Silk Road economic belt, there are rich tourism resources, including many heritage sites and landscapes in Central Asia, said Zhang Yongke, head of the Xi'an Tourism Administration.

Xi'an and other cities along the route should strengthen exchange and cooperation in tourism, he said.

Mutual exchanges can help solve problems in transport, communication and visa services, the official added.

Xi'an can take the initiative and jointly set up a Silk Road tourism cooperation organization with other regions to make the road an attractive tourism brand, proposed Chen Qingliang, deputy head of the Shaanxi Provincial Tourism Administration.

Regional cooperation is needed for the development and international marketing of Silk Road tourism products, according to experts.

Liubava Moreva, a programme specialist for culture of UNESCO, said indigenous culture and heritage sites should be protected for sustainable tourism development.

China, Kazakhstan and Kyrgyzstan have been jointly working on inscribing several sections of the Silk Road in the three countries on the UNESCO world heritage list, to better protect the heritage of mankind, according to Yang Zhongwu, head of the Shaanxi Provincial Tourism Administration.

Source: xinhua via china daily  | photo: Fredonia

Four Seasons Seen Drawing China’s Richest Man

In the hunt for luxury hotel management companies in America, China’s richest man may set his sights on Four Seasons, or several smaller boutique chains.

Wang Jianlin, owner of commercial land developer Dalian Wanda Group, said this month he hired two investment banks to buy hotel management companies, mostly in the U.S., where a recovery in travel is boosting lodging demand. Closely held Four Seasons Hotels & Resorts, operator of the namesake properties in Manhattan and around the world, would give Wang a high-end, globally recognized brand, said Robert W. Baird & Co.

With few big luxury names officially for sale, he may settle for a compilation of smaller, lifestyle hoteliers such as Morgans Hotel Group Co. (MHGC), which manages Mondrian and Delano properties, FBR & Co. (FBRC) said. While Morgans’s enterprise value is the most expensive relative to profit among U.S. lodging peers, Dalian Wanda’s revenue is forecast to exceed $100 billion by 2020 and Wang has a net worth of $12.7 billion. Wang’s ambitions may also lead him to high-end boutique chains Viceroy Hotel Group in Los Angeles and Kimpton Hotel & Restaurant Group LLC of San Francisco, SunTrust Robinson Humphrey Inc. said.

“It’s part of a larger trend,” James Macdonald, Shanghai-based head of China research for Savills Plc, said in a phone interview. “Chinese companies are starting to look at diversifying out of China and bringing intelligence and market experience from operating overseas back to the China market. It’s also about taking experience of the China market overseas to try to get the best of both worlds.”

Building Hotels

A Beijing-based representative for closely held Dalian Wanda declined to comment on potential takeover targets.

Dalian Wanda plans to build five-star hotels at a rate of 15 per year and in as many as 10 major cities around the world, including projects planned for London and New York, Wang said in an interview with Bloomberg News at the World Economic Forum in Dalian this month. The 58-year-old billionaire said he has been in talks with “several” companies in the past year.

Wang is China’s wealthiest person, according to the Bloomberg Billionaires Index.

In addition to 40 hotels, Dalian Wanda runs at least 49 commercial properties across China and 40 department stores from Beijing to Nanjing, according to its website. The 25-year-old company is owned by Wang and his son Wang Sicong.

Hotel chains in the U.S. have benefited from demand in the lodging industry, with shares of Starwood Hotels & Resorts Worldwide Inc. (HOT) and Marriott International Inc. (MAR) reaching multi-year highs in May.

Hilton Worldwide Holdings Inc., owned by Blackstone Group LP (BX), this month filed to raise $1.25 billion in an initial public offering.

Industry Growth

Revenue per available room, the industry’s measure of average daily room rates and occupancies, is still expanding. After rising 6.8 percent last year and 8.2 percent in 2011, data provider STR forecasts it will increase 5.7 percent this year and 6 percent in 2014.

“For any buyer like Wang, it is a very good time to buy into this sector since we still have several years ahead of growth in the hospitality industry,” said Nikhil Bhalla, an industry analyst at FBR in Arlington, Virginia.

Four Seasons, with 91 luxury properties in 38 countries, would fit Wang’s ambitions, according to David Loeb, an analyst at Milwaukee-based Robert W. Baird. The Toronto-based company hired Allen Smith, the head of Prudential Real Estate Investors, as chief executive officer in August to help the hotelier expand.

Four Seasons

Bill Gates’s Cascade Investment LLC, Prince Alwaleed Bin Talal’s Kingdom Holding Co. and founder Isadore Sharp took Four Seasons private in 2007 for about $3.4 billion.

“The brand that would fit Wang’s ambitions perfectly is Four Seasons,” Loeb said in a phone interview.

“Prince Alwaleed loves Four Seasons but he’s a practical guy,” he said, adding that a sale would be possible at the “right price.”

Sorya Gaulin, a spokeswoman for Four Seasons, declined to comment when asked if the company would be willing to sell.

If Four Seasons isn’t for sale, Wang may have to settle for a compilation of smaller high-end hoteliers, including New York-based Morgans or Viceroy, Loeb said.

“It’s a slow process,” Wang told Bloomberg in the interview earlier this month. “Those companies we liked, they might not be willing to sell. Those willing to be bought, we might sometimes feel the brand isn’t as good.”

Among boutique hotels that cater to an affluent younger clientele, Morgans, Kimpton or Viceroy could be likely candidates for Wang, said Patrick Scholes, an analyst at SunTrust in New York.

Ron Burkle

“All of them are high-end with locations in urban markets,” Scholes said in a phone interview. “This presents the opportunity to get Chinese travelers into these hotels and introduce them to these brands that can ultimately then be brought to or be expanded in Asia.”

Kimpton CEO Michael Depatie and a spokesman for Morgans declined to comment on whether the companies would be interested in selling to Dalian Wanda. A representative for Viceroy didn’t respond to requests for comment.

Morgans climbed to an almost two-year high in early June when it said it would consider a sale after receiving takeover interest from five potential buyers. Morgans has since had a tumultuous few months, with the board ousted and CEO Michael Gross resigning. Investors including Ron Burkle’s Yucaipa Cos. and Kerrisdale Capital Management LLC have called for another new slate of directors to help sell the company.

Infinity Pools

Morgans operates 12 hotels, known for their stylish decor and amenities such as infinity rooftop pools. The hotelier’s Hudson in New York, the Mondrian in Los Angeles and the Delano in Miami’s South Beach were opened by Ian Schrager, who has been credited with the invention of the boutique-hotel concept.

“Morgans has three good brands, brands whose value is arguably much bigger than their actual footprint because they are in key cities and well known throughout the U.S. and abroad,” Chris Agnew, an analyst at Stamford, Connecticut-based MKM Partners LLC, said in a phone interview.

He estimates that Morgans should be valued at $9 a share as a standalone and that an acquirer would have to pay 30 percent to 50 percent more. Such a price tag would top $900 million, including net debt.

After rising 25 percent this year, Morgans closed at $6.95 yesterday. With an enterprise value 34 times its earnings before interest, taxes, depreciation and amortization in the last 12 months, Morgans is more expensive than every other U.S. lodging stock, data compiled by Bloomberg show.

Beverly Hills

In addition to Morgans, closely held Viceroy may appeal to Wang with its 16-property portfolio that includes the L’Ermitage Beverly Hills and the Yas Viceroy Abu Dhabi, said FBR’s Bhalla. Kimpton, the operator of 62 U.S. properties, some of which feature floor-to-ceiling bookcases and lush velvet drapes in guest suites, may also fit the bill, Bhalla said.

It would be more efficient for Wang to target only bigger, top hotel operators, the same way he pursued AMC Entertainment Holdings Inc. last year to create the world’s biggest cinema owner, said Kenny Wu, a Hong Kong-based analyst at JI Asia. At the time, the $2.6 billion deal was the largest acquisition of a U.S. corporation by a Chinese company.

“If you look at Wanda and what it has done, Wang is now a big movie-theater owner,” said Loeb of Robert W. Baird. “He has the money to think big.”

Source: Bloomberg News By Nadja Brandt | Photo: Los Angeles Times

Ancient waterfront town of Zhouzhuang

Zhouzhuang is one of the few places where you can experience the life of a typical Chinese water town.

Acclaimed as "Venice of the East", the town near Suzhou in Jiangsu province attracts a constant flow of visitors throughout the year with its well-preserved old houses and picturesque landscape of crisscrossing waterways.

Zhouzhuang was listed as the world's Top 10 most beautiful towns by CNN in 2012. It was lauded as a Global Green Town by Global Forum on Human and Settlements in June.

Streams flow through every corner of Zhouzhuang, creating the pulse of local life and making the town look like a watercolor drawing painted with a Chinese brush.

Among the most eye-catching features in this picture-perfect landscape are the bridges, in different shapes and sizes — built with stone or wood.

The Twin Bridge, built during the late Ming Dynasty (1368-1644), is considered the symbol of the town.

One of its arches is round and the other is rectangular, which makes the bridge look like an ancient Chinese key. Thus locals also call it the Key Bridge.

The traditional residences in town, mostly built in the Ming and Qing dynasties (1644-1911), flank the winding waterways. Many of them are well-kept and preserve their original appearance, with white walls and black-tiled roofs.

The best way to get a taste of local lifestyle is spend an afternoon at a riverbank teahouse, sipping a cup of green tea and enjoying the river landscape.

In addition to the town's old charm, Zhouzhuang is striving to create new draws and improve its tourism facilities, according to Ren Yongdong, managing director of Zhouzhuang Tourism Company.

Carton King Creativity Park is one of the new attractions on Zhouzhuang's tourist map.

The park, including stores, a gallery, a museum and a restaurant, has become a must-see since its opening in August last year.

Everything you see in the park is made of cardboard cartons, from figurines and animals to hats, bags and furniture.

"They are not just for display," explains Chen Weilin, general manager of the Carton King Creativity Park.
"A chair made of cartons can support as much weight as 200 kg."

The park is the Taiwan company's first store on the Chinese mainland, Chen says. "All the materials are recycled corrugated paper to make furniture and crafts, which are environment-friendly and creative," Chen says.

Chen is optimistic about the future of the park. "With the rapid development of Chinese economy, tourists' purchasing power will increase, and there will be great development space in Zhouzhuang."

The 1086 Street is another new site to showcase local cultural heritage. The 200-meter-long street is a concentration area of lodging and catering. More recreational facilities like bars and coffee shops have been planned for construction in the near future, according to Ren.

Some of the businesses are run by people from other parts of the country.

Bar owner Guo Tao, from Lijiang in Yunnan province, is one of them.

Guo and his wife first visited Zhouzhuang in 2010. "We fell in love with the town during our one-week stay.
Then we decided to move here."

Business was not very good two years ago but it's getting better, with more returning customers, Guo says.

"In Zhouzhuang, I can find the freedom of the soul. I hope one day I could buy a house of my own and finally settle down."

On Minsu Street there are dozens of inns run by local residents. The decorations are authentic and the inn-owners are considerate, honest and enthusiastic.

Zhu Sanguan, 72, once an actor, works at a hotel in town.

A few years ago, Zhouzhuang was very quiet with few tourists and people lived a leisurely life, Zhu recalls.

"Most of us lived on farming and fishing."

With the town's increasing popularity, the number of tourists skyrocketed. Many people in the town opened hotels and restaurants, and sold souvenirs.

"Life is much better and busier," Zhu says.

"People used to go to bed after the sunset," he says. "Days like that are long gone."


Source: By Guo Anfei (China Daily)

Taipei, Los Angeles and Singapore top travel search growth list

As the National Day holiday approaches, travel search site Tianxun.cn released findings about popular searches from Aug 1 to Sept 30 over the past three years.

It shows that Taipei, Los Angeles and Singapore have recorded the greatest increase in search numbers.

The destinations have one thing in common - they provide excellent shopping, a boon to Chinese tourists who are also taking advantage of easier visa applications and an appreciating currency.

According to Tianxu, Taipei has been in the top 10 for two years, with a 78.9 percent increase in search numbers in 2013 compared to last year. In June, residents of 13 more cities on the Chinese mainland were eligible to travel to Taiwan as individual tourists.

Taiwan is also a perfect place for shopping, not only for its specialty items such as ceramics, delicacies and tea, but also for the shopping attractions such as Taipei 101 Mall.

To attract Chinese travelers, Singapore has increased flights between the two countries, especially from the second and third-tier cities in China. Diehard fans of shopping know about Orchard Road, which features international?high-end brands and retail outlets.

As the gateway to the US West Coast, Los Angeles is the first stop for most Chinese visitors. Searches to the city from the Chinese mainland showed a 90.8 percent rise from 2012 to 2013.

Source: By Xu Lin (chinadaily.com.cn)

Xunpu oyster village: Fresh seafood, flamboyant women

Visitors flock to Xunpu Village (蟳埔村) for two things: oysters, and a photo of the colorfully dressed women who sell them.

The oyster women are usually well past middle age -- it's their flamboyant costumes, exotic hairdos and supposed Arabic heritage that piques tourists' interest.

And the oysters themselves? Well, they might just be the freshest and tastiest in all of China.

Fresh, meaty oysters

Approximately 10 kilometers southeast of downtown Quanzhou, Xunpu is a tiny fishing village located at the estuary of the Jinjiang River.

The 1.5-square-kilometer neighborhood is most celebrated for its fresh, meaty oysters.

Fujianese consider the oysters produced in Xunpu to be the best. Knowledgeable foodies in Quanzhou drive here regularly to stock up on freshly shucked oysters for cooking at home.

A made-to-order oyster omelet (海蛎煎) is the local specialty.

The oysters are pan-fried with eggs, sweet potato starch and chives. Although the dish tastes quite similar to the Teochew equivalent, the Xunpu version is less crispy.

Visitors can sample a Xunpu oyster omelet for RMB 20 (US$3) per plate at the no-frills small eateries clumped near the intersection of the waterfront boulevard Fenghai Lu (丰海路) and the only other main street (it's nameless street) in the village. The street doesn’t seem to have a sign, but you'll know when you're there.

With so many oysters sold every day, Xunpu villagers have found an ingenious way to put the mountains of empty shells to good use: build houses.

In the back alleys of the village, huts and one-story buildings stand with outer walls insulated by oyster shells.

Locals believe these outlandish shell structures won't get eroded by the salty sea breeze. Some houses have been standing for more than 200 years and show no signs of dilapidation.

Lam Hong-ki, a graduate student of the University of Hong Kong, is awed by the village's organic architecture.

"The oyster shell houses are simply splendid," Lam says. "They're no cookie-cutter houses -- each one has its own life and stories."

Although wealthier villagers have moved into the uninspiring concrete buildings along the main street, newly built oyster-shell houses are still dotted around.

“Unlike those famous villages in China that are commercialized and charge outrageously high entry fees,
Xunpu is very authentic and the villagers' way of life is relatively undisturbed at the moment," Lam continues.

Fisherwomen fashion: flamboyant and flowery

The women of Xunpu's are the village's other main draw.

Most women living in Xunpu are aged 40 or more (most young natives leave Xunpu to live in big cities for a better career). Married women wear old-style pink floral tunics and loose black trousers.

They twist their hair into a chignon or a bun, and decorate it with colorful garlands. Favorite flowers include chrysanthemum, jasmine and magnolia buds.

A granny now in her sixties, sporting a double-ring garland set off by yellow chrysanthemum, says that when she was a newlywed decades ago, she spent more money on flowers than on food.

Some Chinese historians believe that the villagers of Xunpu are the descendents of Arab traders and seafarers, which is why the women wear a distinctively different set of costumes and head ornaments than the average Han Chinese.

During the Song and Yuan dynasties, Quanzhou enjoyed fame and prosperity as the Arabs' first port of call on the Maritime Silk Road in China.

The traders brought ivory, spices, rhino horn and other exotic goods, and then sailed back to the Middle East with Chinese tea, silk and porcelain.

Mazu followers

Today, however, Xunpu locals are loyal followers of the cult of Mazu (aka Tian Hou or Heavenly Goddess, the protector of seafarers) rather than Islam; and the center of worship in the village is a Mazu Temple, not a mosque.

The annual Mazu procession, which falls on the 29th day of the first Lunar calendar month, is a red-letter day for the village, when all the women dress up.

But travelers don't need to wait till next year to see the fisherfolk fashion extravaganza. Women here are colorfully attired every day, as they believe that this is one of the ways to make sure their seafaring husbands will come home in one piece.

A good location to observe the local women and their fashion is the market.

With men struggling for a livelihood on their boats or at the oyster farms, the women are the mainstay of the oyster trade in the marketplace.

At the end of the one and only main street in the village, a covered market serves as both a grocery shopping arcade and a community center. Every day, aunts and grandmas natter away their afternoon while shucking the shelled creatures on the waterfront.

Source: CNN Go By Chung-wah Chow

Faces of Tibet

There are more than 10 ethnic groups living in the Tibet autonomous region. Ethnic groups living on the plateau not only keep traditions from generations past, but also face the modern way of life full of hope.

Yagpe, 82, a practitioner of divination demonstrates an ancient ritual in her kitchen in Chab Nag village, Mainling county, in July. The Lhoba ethnic group believed these fortune tellers represented a divine link between the gods and humanity and could heal the sick. She is one of just two such practitioners in the region as modern medicine has became more popular.

Maria, a Catholic, lives with her husband, a Buddhist, in Yargading village, Markam county. Tibet's unique Christianity has deep roots in the village.

Tsering Yudron (right), 40, owner of the Lhasa Smile teahouse, and clerk Zomkyi, 25, proudly display their establishment in Medog county, Nyingchi prefecture, in July. They came to the county in southeast Tibet from Lhoka prefecture three years ago to open the teahouse.

A young man enjoys a welcome respite from the July heat in a teahouse in Medog county. There are only 10 KTV-style entertainment venues in this area where the Tibetan-style teahouses are popular.

Members of the Tibetan ethnic group take a well-earned moment of rest from the highland barley harvest in Qamdo prefecture in July. Highland barley has been grown on the plateau for centuries, and wine made from the crop is a popular refreshment. People on the plateau live in harmony with the land and the circle of nature.

Source: China Daily

People enjoy moon of Mid-Autumn Day in China

People enjoy moon of Mid-Autumn Day


Source: Sina

Carlyle checks into Chinese hotel sector

Carlyle Group has developed a taste for the Chinese hotel industry and its investment pace in the sector this year is expected to remain solid. The latest move by Carlyle — one of the world's largest private equity firms — was to complete a deal to take 7 Days Group Holdings Ltd private. The company, which was listed on the New York Stock Exchange, runs the 7 Days Inn budget hotel chain in China. In March, 7 Days Group said that Carlyle, Keystone Lodging Co Ltd and Sequoia Capital planned to acquire the company for $4.60 per ordinary share, or $13.80 per American Depositary Share.

In July, 7 Days Group, Carlyle and Sequoia Capital announced the establishment of the Plateno Hotels Group and said that the 7 Days Inn chain would become part of it. The Plateno Hotels Group will develop another four high-end and mid-tier hotel brands based on the 7 Days Inn's concept.

"With the acceleration of the country's urbanization drive and an improvement in Chinese people's disposable income, customers will have more specific requirements and the coverage of high-end and economic hotels will have a bigger market space," Eric Zhang, a managing director at Carlyle, told China Daily.

Zhang said that the hotel sector has a close relationship with the country's economy. And as the Chinese economy remains on a healthy track, investing in the Chinese hotel industry has great potential.

"The business risk pattern of the hotel sector is low, and brands, sites and resources are key factors of the sector and it's hard for competitors to copy them," he said.

Zhang added that the relatively high valuation of the hotel sector is another reason behind Carlyle's confidence in the industry.

"Although lots of budget hotels emerged and competition among them was fierce, the market is far from being saturated," said Zhang, adding that budget hotels are able to compete with guesthouses and two- and three-star hotels.

Industry insiders said that Carlyle is taking part in the 7 Days Inn deal not because the valuation of the company was lower than its real value, but because Carlyle is confident on the company's growth prospects and sustainable profitability.

Carlyle also took a controlling 49 percent stake in China's Mandarin Hotel Holdings Ltd in July last year, in a bid to tap into the country's emerging mid-tier hotel market.

The value of the investment was not revealed, but a typical deal by the fund through which the investment was made — Carlyle Asia Partners III LP, which totals $2.55 billion — is usually worth more than $75 million.

"The mid-tier market in China is very fragmented and of great potential, and Mandarin Hotel Holdings is a leader in this market with its product design and marketing strategies," said Zhang. "So we feel confident (the deal will) help the company to perfect its business and brand to win in the market."

The total number of rooms of Chinese mid-tier hotel chains only accounts for 12 percent of the whole mid-tier hotel industry, according to Carlyle data.

Founded in 2006, Mandarin Hotel Holdings, which is not related to the Mandarin Oriental chain, operates 25 hotels in six major Chinese cities, 14 of them in Beijing. It operates hotels under the Crystal Orange and Orange brands.

"The Chinese high-end and budget hotels have developed very well, while even the largest 10 mid-tier hotels account for no more than 5 percent of the mid-tier hotel market," said Wu Hai, founder and chief executive officer of Mandarin Hotel Holdings and a former vice-president at Ctrip, a major online travel agency in China.

Carlyle's third hotel deal in China was in 2008 when it invested $100 million in New Century Hotels & Resorts.

New Century Hotels Real Estate Investment Group, the first Chinese hotel real estate investment trust, had its initial public offering in Hong Kong in July. The IPO raised HK$676 million ($87 million).

In addition, the company said it signed a three-year loan agreement totaling HK$1.93 billion with several banks led by Standard Chartered, with HK$1.47 billion of the funds coming from offshore loans.

"Our REITs will benefit from the (solid) Chinese economy, the rapid growth of China's tourism sector, and the appreciation of the yuan," said Chen Miaolin, chairman of New Century. "With the cooperation with
Carlyle, we will seize M&A opportunities as well as our own growth to develop our REIT business."

Before Carlyle's investment, New Century only had a dozen hotels, but now it has 107 hotels in operation, with new ones in the pipeline.

Zhang said that, unlike the real estate sector, the hotel sector has to pay attention to profitability and brand cultivation. Some first-class hotels do not care for profitability and only hope that their land increases in value, Zhang added.

Carlyle helped New Century to focus on hotel development rather than on property projects, as well as on promoting its brand, inviting industry experts and improving its member systems and marketing operations.

Previously, New Century owned some land and more was rented, but now it will adopt an asset-light strategy.

Also, Zhang said that Chinese clients are the main customers of high-end hotels in second- and third-tier cities, so the company has launched several campaigns with Chinese characteristics to satisfy their requirements.

For instance, many Chinese customers don't mind spending over 1,000 yuan ($162.15) for a meal, but they only want to pay 600 to 700 yuan for a room.

New Century also pays close attention to its greeting patterns, the design of conference rooms, and even details such as the slippers provided to guests.

"As competition for good deals intensifies, being an industry insider with a professional attitude has to be a new trend," said Zhang, adding that the company will explore more opportunities in the hotel sector in the coming years.

Liu Zehui, managing director at Legend Capital, told China Daily that there are now fewer investment opportunities in the Chinese budget hotel sector, because brands such as Home Inn and Hanting have been industry leaders for a long time and grabbed a large market share. However, there are still some attractive deals in the hotel industry.

"Investing in middle- and high-end hotels in China can have great potential," said Liu, adding that domestic three- and four-star hotels have the advantage of local knowledge and lower costs when competing with foreign companies.

Liu added that Carlyle's deal to take 7 Days private may be profitable, but that growth will likely not be as high as it would have been in previous years because similar-level hotels have boosted operations, and many new competitors have entered the field.

In June 2012, budget hotel chain Pod Inn received investment totaling $55 million from five equity investment firms including Legend Capital. Pod Inn financed its first equity investment funds worth 5 million yuan with money from Legend Capital in 2010.

Pod Inn's chief operating officer Shi Yangqing told China Daily that Chinese customers are very rational when it comes to choosing hotels, and brand and services are very important.

"Although we operate budget hotels, we will not simply increase the number of branches. Instead, we focus more on details and personality," said Shi, adding that the decoration of Pod Inn hotels is fashionable and trendy and that they have just spent 10 million yuan to improve the beds.

By the end of 2013, Pod Inn plans to increase the number of its branches across China to 300.
Since entering the Chinese market in 1998, Carlyle has made about 70 deals in China. Of these, the amount of equity investment deals totaled $4.7 billion.

In 2012, Carlyle's investment in China totaled $700 million with the money coming from five funds related to the country. Carlyle also cashed out $1.5 billion in the country last year.

In January, Carlyle sold its remaining stake in China Pacific Insurance (Group) Co Ltd in a deal valued at $793 million. The private equity firm began selling its stake in the insurer in late 2010, and it earned about $4 billion from stock sales over that time, five times the $800 million it had invested between 2005 and 2007 for a 17 percent stake in the Chinese firm, according to calculations by Thomson Reuters.

Source: By Cai Xiao (China Daily)

Budget, mid-tier hotel chains in focus

Chinese budget hotel chains are expected to see steady development in the next two years, while players in the sector have started to develop mid-tier businesses, industry observers said.

As the Chinese economy is showing signs of stabilization and recovery, budget hotel chains such as Home Inn should see their occupancy rates remain above 85 percent in the next two years, according to a report issued in August by Guotai Junan Securities Co.

Four of the largest five hotel companies in China are budget hotel chains, indicating that the sector has seen strong development and is widely recognized by Chinese customers, a report released by the China Hotel Association showed.

Home Inn Group, 7 Days Group Holdings Ltd, Huazhu Hotels Group Ltd and Jinjiang Inn are the four largest budget hotel chains in China. Home Inn is the largest company with a market share of 21.8 percent, while the market share of the other three players totals 55. 5 percent.

However, rising rents and labor costs are pressuring the sector, so in addition to franchises, many of the budget hotel chains are adding mid-tier operations.

The Plateno Hotels Group, which owns 7 Days Inn, said in July that it is developing four high-end and mid-tier hotel brands based on its previous platform.

And Shanghai Jin Jiang International Hotels Development Co Ltd, which gets most of its profits from the Jinjiang Inn chain, is making efforts to expand to mid-tier business hotels.

Jin Jiang International bought mid-tier business hotel chain China Smart Hotel for 710 million yuan ($115.12 million) in June, which directly owned 21 hotels in operation or under construction. Jin Jiang now manages about 40 mid-tier business hotels.

Another company in the sector, Huazhu Hotels Group Ltd also bought mid-tier hotel chain Xingcheng last year.

At the same time, an increasing number of private equity investors are eyeing the country's mid-tier hotel market. According to ChinaVenture Group, five hotel companies received equity investments totaling $288 million in 2012.

Most private equity firms focused on Chinese mid-tier hotels last year.

Global private equity firm Carlyle Group took a controlling 49 percent stake in China's Mandarin Hotel Holdings Ltd in July 2012, while Chinese private equity firm Shenzhen Capital Group Co Ltd invested in Shenzhen China Harbor View Hotel Co Ltd in February 2012.

The China Hotel Association report said that the country's mid-tier hotels are mainly independent and traditional companies with fragmented brands, so the market has great potential.

Source: By Cai Xiao (China Daily)

Economic woes hit Yangtze River cruise industry

A pedestrian street lined with luxury shops, a cinema, a circuit racetrack and even a rooftop golf court and helipad. No, it's not a pocket of one of the world's top cities, but facilities found aboard four of the world's largest river cruise ships, Yangtze Gold 2 and Yangtze Gold 3 and their sister ships, Gold 5 and Gold 6, which were put into service on the Yangtze River in May and June.

The four luxury cruise ships, along with another ship also put into service in June, has added another 3,000 seats to the Yangtze River cruise market and represents part of a plan by the Chongqing municipal government to boost tourism on the Three Gorges.

But the launch of the luxury ships has not delivered the promised boom to tourism.

The slowdown of economic growth nationwide and globally has resulted in river cruise companies experiencing a fall in customers.

These two factors have forced some old river cruise ships to slash the price of a cruise from 2,500 yuan ($393) to 1,500 to 2,000 yuan.

In an effort to boost the market, the tourism authority has organized a month-long promotional activity in August and river cruise companies have offered promotions on family trips and discounted tickets.

Two companies, Century Cruises and the Yangtze Gold Cruises, have decided to delay the date of the maiden voyage of their cruise ships, in a move aimed at buffering market pressure.

Both companies have ships that were due to be unveiled in October. Now both have decided to delay the maiden voyage to the end of this year.

The lacklustre state of the industry has raised questions on whether the rapid of the river cruise industry went too far.

"So far (the sudden increase in number of luxury ships) has given the market an unprecedented strike," said
Li Qing, a market manager at Century Cruises, which has five five-star river cruise ships on the Yangtze River.

"We need to follow the patterns of development of the market," Li said, adding that it might take another two or three years for the river cruise market to mature.

Coping with the gloomy economic environment

According to statistics provided by Chongqing's tourism authority, the city recorded a total of 1.1 million passengers taking the river cruise to visit the Three Gorges area in 2011, a 60 percent increase from 2010.

However, in the first half the number of tourists taking river cruises was only 446,000, a 6 percent decrease year on year, according to the maritime safety administration of Chongqing.

Despite the sudden increase in the number of luxury ships, the total passenger volume of luxury ships decreased by 2.1 percent.

"Data from travel agencies and scenic spots are showing that there is a palpable decrease in the number of tourists," said Li Qing.

Zhou Ling, who works at the reception desk for Century Cruises, said her ship is registering 50 or 60 less tourists than before. The cruise ship she works on has a total capacity of 300 passengers.

"In larger ships there were larger vacancies. Some even have less than 100 passengers," she said.

Data from Yangtze River Gold say the company's ships were only about 85 percent full, according to Jiang
Zongyu, the market manager at the State-run Chongqing Tourism Investment Group.

Another river cruise company, DaMei Three Gorges Cruises, were also only able to fill 70 to 80 percent of seats on the cruise ships, according to Dai Guoqun, manager of the company.

Slashing cruise ticket prices seems an inevitable decision.

Data provided by the Chongqing office of China International Travel Service suggests almost all river cruise companies have slashed the ticket price of cruise ships.

"The price of luxury ships were cut by a larger degree compared with the old cruise ships, as the latter has less profit margin," said an employee at the agency who gave only her surname, Liu.

River cruise companies are also keen to attract customers with more diverse packages, such as organizing summer camps for children or promotions on Qixi, the traditional Chinese day of romance, which fell on Aug 23 this year.

On Aug 5, a wedding was held on the Yangtze Gold 5, as part of efforts by the company to diversity its river cruise business. She Yangyi, a manager at Yangtze Gold Cruises, told Chongqing Economic Times that the company is planning to further diversify its business by renting its cruise ships to individuals or companies.

For many Chinese, the ticket price remains the defining factor in choosing the kind of river cruise they take.

Luo Menglin, a bank clerk, said even after the river cruise companies cut their prices, it still seems too expensive to him.

Luo took a cruise to the Three Gorges scenic area years ago on a small cruise ship and it was not a very pleasant holiday in a third class cabin.

"For me a luxury cruise ship is way too expensive. I wish they could focus on upgrading the smaller river cruises and make sure they cater to a variety of income groups," he said.

Moving five-star hotels

"It feels like working at a moving five-star hotel," said Xiao Yongyan, who works at souvenir shop aboard Yangtze Gold Two.

Xiao has worked on the cruise ship since it was put into operation and loves the atmosphere on board.

The design of the Yangtze Gold cruise ships seems to be trying to deliberately defy the traditional concept of river cruise ships. It has a gymnasium, swimming pool, three panoramic lifts and bars and a cigar lounge.

The spacious inner room and the decorative roof lighting are reminiscent of a hotel environment.

The six-deck ships, all the same size, have a maximum passenger volume of 570 people and 200 crew.

The ships are 150 meters long and 25 meters wide, significantly smaller than ocean cruise liners, which can carry more than 6,000 passengers.

But they could easily dwarf any inland river cruise ships in the world.

"The ships were the largest size we could get considering the voyage conditions of Yangtze River," said Jiang.

Over the past two years, 14 more five-star river cruise ships were put into operation to ply the tourism waterway to the Three Gorges scenic area, increasing the total number of river cruises from 12 to 26.

In 2010, the municipal government listed the development of tourism to the Three Gorges scenic areas as the priority in its work plan and the development of luxury river cruise ships is regarded as a key part of that plan.

Meanwhile, the building of the Three Gorges Dam has greatly refined the voyage conditions of the waterway of the Yangtze River, making it possible for the building of large river cruises.

"Previously the river section in Chongqing was filled with dangerous shoals and the depth of water is far below the standard of luxury ships," said Qin Zhongfan, a staff worker from the Yangtze Gold Cruises, a subsidiary company of the Chongqing Tourism Investment group.

Meanwhile, the Yangtze Gold Cruises is planning to build another seven luxury river cruise ships starting at the end of this year.

However, Zhang Lingyun, vice-dean of the tourism institute of Beijing Union University, has cautioned that a further increase in the number of cruise ships could result in fierce price wars between cruise ship companies.

"The number of cruise ships that are put into operation should be based on adequate market research," Zhang said, adding that the lure of the Three Gorges scenic area has decreased since Three Gorges Dam was put into service.

Zhang said one of the major problems of the Yangtze River cruise is the homogeneous service offered on the ships. He said river cruise companies should focus on improving services on board rather than price wars.

"River cruise ships cannot compete with ocean cruise liners in terms of luxury," he said.

Zhang believes Yangtze River cruise companies could try to diversity their service, including organizing conferences or other similar services.

Source: By Xu Wei in Chongqing (China Daily)

Beautiful lanterns mark Mid-Autumn Festival in Ningbo, China

Visitors at a Mid-Autumn Festival lantern show in Ningbo, Zhejiang Province, Sept. 18, 2013.


Source: Xinhua

Sunrise at Huangshan Mountain on an Early Autumn Morning

One of China's most well-known travel destinations, Huangshan Mountain in east China's Anhui Province, changes as autumn approaches. (Source: CRI)

Wuling Mountain under the Autumn Veil

Forests covering Wuling Mountain are painted red and gold as autumn sets in. Some 130 kilometers from Beijing, Wuling Mountain is located in Hebei Province and serves as a natural barrier protecting the Chinese capital from bad weather. [Photo: China.or.cn]

Major Chinese airlines incur US$165m in forex losses

China's four largest airlines suffered a more than 50% decline in their net profits in the first half of this year.

Industry insiders attributed the fall to foreign exchange losses, Guangzhou investment magazine Money Week reports.

The four suffered 1.047 billion yuan (US$165.75 million) in forex losses, or a 112.7% increase, the report said.

Chinese airlines, which have large foreign debts denominated in the US dollar, have previously enjoyed the benefits of a rising renminbi. Since the beginning of this year, however, the renminbi has risen only slightly, leading to mixed forecasts for the currency's movement.

The fall in the airlines' net profits was mainly due to soaring prices and declining exchange rates, said Li Xiaojin, a professor at Civil Aviation University of China in Tianjin.

Airlines typically incur large forex liabilities. The main fixed assets of Chinese airlines are aircraft, which are mostly manufactured by foreign enterprises. In addition, they take large loans denominated in foreign currencies.

Since Chinese airlines' liabilities are largely denominated in the US dollar, they have enjoyed forex gains from a rising yuan in the past. However, as the yuan begins to lose momentum, these gains have turned into significant losses, a securities analyst said.

The Money Week report said that in the first half of this year, the exchange rate of the renminbi against the US dollar had dropped 0.39%, causing great losses to the "big four," with Air China suffering the largest losses.

In the fourth quarter last year, the renminbi rebounded before registering a 0.72% fall in the second quarter of this year. As a result, Air China registered losses of 340 million yuan (US$53.83 million) in the first half of this year, accounting for a 45% decline in the carrier's profits in the first half of this year.

In the past, forex gains accounted for a large portion of airlines' profits, far exceeding their net annual profits.

For instance, China Southern Airlines' forex gains accounted for 670% and 136% of its net profits in 2006 and 2007, respectively.

An analyst said foreign exchange profits contributed to 20%-30% of airlines' overall profits in 2011 and were expected to fall this year.

Although a weak renminbi ate into their net profits in the first half of this year, airlines did not take any action to prevent further depreciation.

On the other hand, some enterprises have been concerned about rumors of institutions short selling the Chinese currency. To ease their concerns, China's State Administration of Foreign Exchange recently published a report stating that the exchange rate was at a reasonable level and there was no large-scale short selling taking place in the renminbi.

A Merill Lynch report said that although the renminbi is expected to rise in the long term, it will drop in the short term.

Source: Want China Times