Under Strong Pressure from the Rest of the World, China Has Increased the Inflation-Adjusted Value of its Currency
The steady, recent, increase in the value of the Chinese currency, the Yuan, coupled with a strong rate of inflation within that country, has had the result that I predicted several months ago: the cost of travel to China is no longer quite the same bargain it was. As one example, the tour known as "Historic China" operated by China Focus Travel (
www.chinafocustravel.com
), no longer visits five Chinese cities in nine days; it goes to only four Chinese cities in eight days, and no longer costs a breathtaking $1,499 (including round-trip airfare to China from San Francisco); it now costs as much as $2,199 and $2,299 per person (for a tour renamed "Historic China by Bullet Train"). Although $1,499 was the winter price for "Historic China," the increased price for travel in the spring is far greater than it was in previous years, and although even $2,199 is a relative value, it is no longer a breathtaking bargain.
The Chinese continue under pressure from the rest of the world to increase the value of the Yuan further; and Chinese inflation remains high. If you continue to put off your own Chinese trip, you will pay a heavy price for doing so. And you should now examine the prices of other tour operators to China, especially China Spree ( www.chinaspree.com ), to see whether occasional bargains are still being offered. Some companies may cut the mark-up of their costs in order to increase their market share.
Travelers might also consider booking the tours that go to fewer Chinese cities, and provide fewer features, and thus remain nearly as affordable as in the past.
Such is the price of procrastination.
The Chinese continue under pressure from the rest of the world to increase the value of the Yuan further; and Chinese inflation remains high. If you continue to put off your own Chinese trip, you will pay a heavy price for doing so. And you should now examine the prices of other tour operators to China, especially China Spree ( www.chinaspree.com ), to see whether occasional bargains are still being offered. Some companies may cut the mark-up of their costs in order to increase their market share.
Travelers might also consider booking the tours that go to fewer Chinese cities, and provide fewer features, and thus remain nearly as affordable as in the past.
Such is the price of procrastination.
Published on February 17, 2012 11:11
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