Tourism stocks could be seeing a surge in tourist arrivals in the upcoming months after the Civil Aviation Administration of China (CAAC) recently allowed airlines to resume two flights per week between Thailand and China.
Deputy government spokeswoman Traisuree Taisaranakul on Sunday said that initial flights will be restricted to business people and students. Easing travel restrictions by the Chinese government indicate a positive signal for a reviving Thai tourism.
Thailand will be fully reopened for tourist travellers starting this July in which the Thailand Pass will be terminated allowing international tourists to enter Thailand more freely.
However, the Thai tourism stocks have yet to respond to this report. As of 10:54 local time in Thailand, the share price of Airports of Thailand Public Company Limited (SET: AOT) rose 0.72% to THB70.25 per share. Asia Aviation Public Company Limited (SET: AAV) was flat at THB2.92 per share. Bangkok Airways Public Company Limited (SET: BA) increased 0.92% to THB11.00 per share. The Erawan Group Public Company Limited (SET: ERW) gained 0.51% to THB3.94 per share, while Minor International Public Company Limited (SET: MINT) dipped 1.47% to THB33.50 per share.
All notable tourism-related stocks in the Thai stock market recorded gains in one month as well as three months with ERW registering the highest gains at 6.52% in one month and 20.25% in three months. AAV came in second with a 5.04% gain in one month and 16.80% gain in three months.
Still, all securities remained slightly below their pre-Covid level, but with only a single digit difference in percentage changes.