Another Giant Company Is Ceasing To Do Business With China

(PresidentialHill.com)- According to various sources, Airbnb has plans to end its local operations in China by the middle of the summer, which includes removing listings and reviews from anything associated with the Chinese market.

The vacation rental firm, which has been operating in China since 2016, plans to delete around 150,000. The San Francisco-based business would instead concentrate on catering to the needs of Chinese tourists who are planning trips to other countries.

In prior years, revenue from stays in China contributed only 1 percent of Airbnb’s entire business.

This information was obtained from Airbnb’s annual reports. Since 2020, the economy of China has been slow to recover since the country has been placed under many lockdowns to reduce the number of COVID-19 infections.

Airbnb’s stock price has dropped by more than 30 percent this year, even though the tourist industry is recovering from the effects of the epidemic.

The firm has somewhere in the neighborhood of 6 million listings available worldwide.

The company cited challenges in competing with local “super apps” that offer cheaper accommodations. This move comes as China has been increasing its emphasis on indigenous enterprises, raising its expectations of international corporations, and increasing its level of content censorship. As a result of the sanctions, LinkedIn, the only remaining American social network in China, left the country in October.

Here, in the U.S., there are currently more short-term rental listings on Airbnb in New York City than traditional rental apartments. According to Curbed, apartments available for rent in Brooklyn, Manhattan, and northwest Queens fell to 7,669 in April. At the same time, two websites that track the number of short-term rentals on Airbnb reported that it had reached more than 10,000 — and could be closer to 20,000.

Airbnb has consistently and vehemently denied that its service is responsible for the lack of housing. Instead, it offers extra income that enables individuals to continue to live in costly locations that they otherwise may not be able to afford.

The corporation also announced back in March that it would be stopping operations in Russia and Belarus as a direct response to Russia’s invasion of Ukraine.