Cruise ship industry poised for new golden era

Chinese factor

In the past, the rapid development of China's cruise industry relied heavily on international operators driving growth in the sector, but domestic companies are now major players.

"In the past few years, the participation of Chinese cruise companies including Adora Cruises and China Merchants Viking Cruises has not only brought more capacity to the Chinese cruise market, but also prompted the overall cruise industry chain to improve and develop," said Qiu Ling, chairman and deputy director of the Shanghai International Cruise Business Institute.

The launch of Adora Magic City, the first domestically built cruise ship, was a milestone for China's cruise industry.

"Since its maiden commercial voyage on the first day of 2024, Adora Magic City successfully completed 16 trips as of March 9, and its guests cover people born in the 1940s to Generation Z," said Chen Ranfeng, CEO of Adora Cruises Ltd.

Adora Magic City has already announced its itinerary for the year and will sail from Shanghai to destinations in Northeast Asia. The entire Adora fleet will be deployed to multiple ports in East China, South China and North China year-round, with mid- and long-haul journeys to countries including Japan and South Korea as well as ports in Southeast Asia.

"We have already received an abundance of inquiries and bookings for the summer season," Chen said.

Qiu said although Adora Cruises is in the very early days of serving the Chinese market, operations have so far gone smoothly.

"Taking the Adora Magic City for instance, we have constantly seen the vessel improve its efficiency and procedures, optimize service quality and enhance passengers' experiences. Such development also indicates the vessel's growing competitiveness and operational capabilities," said Qiu.

Chen believes 2024 will be the year China's cruise market recovers, and the nation's capability in constructing and operating liners will be demonstrated to the public and attract more Chinese travelers.

On the rapid return of international cruise ships, Chen said their participation will boost market penetration and help promote the healthy development of the local market.

Onorato of MSC Cruises said the launch of Adora Magic City was a "very positive" development as more domestic products will help the growth of the industry in China. He added that MSC Cruises offered an "international, strongly European-flavored product" and the arrival of domestic products expanded consumers' choices.

According to Zheng, executive vice-president and secretary-general of the CCYIA, the operation of both domestic and foreign companies in the market is in the best interests of the Chinese cruise industry. Passengers will not only have more choices, but Chinese companies will get the opportunity to learn from their international peers, he added.

"In fact, the Chinese cruise industry's outlook is extremely promising; we can expect a second golden decade to arrive in 2026," said Zheng.