China lockdowns: Tourism spending plunges over key holiday

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Spending on tourism in China plummeted during this week's festival as the world's second largest economy battles a rise in infections.

The amount tourists spent during the three-day holiday was less than last year.

As travel restrictions in China continue, and other cities remain locked down, it comes as a surprise.

The largest city to go into lock down is Shanghai.

The Tomb Sweeping Day is a time when people visit the graves of family and friends.

People travelling from their homes to other parts of China can provide a boost for consumer spending.

The festival was held from Sunday 3 April to Tuesday 5 April.

Local tourists spent 2.26 billion dollars over the three days, according to China's Ministry of Culture and Tourism. That was lower than last year.

The ministry said that there were more domestic trips this year than in the previous year.

The whole city of Shanghai has been locked down after a surge in Covid cases.

The daily record for new infections was set in Shanghai. The numbers are low by international standards.

The financial and manufacturing hub has been battling a new wave of coronaviruses for more than a month.

Volkswagen has scaled back their operations in China.

The Chinese factory of the motor industry giant was partially closed last week due to supply shortages.

The plant has been closed since then.

VW will continue to monitor the situation day by day, like before the holiday.