Airline and tourism prospects for China's outbound market remain strong despite yuan depreciation

Jitters in China are enough to make the world ask if there has been an earthquake. The depreciation of the yuan has a wide range of impacts, but as far as aviation is concerned, China's outbound market outlook remains bright. China's larger economic change, of which the yuan is one part, could impact business traffic to/from China. But the larger outbound leisure segment - there were 117 million Chinese tourists in 2014 - should continue its robust growth.

Against the US dollar, the yuan is about back to 2012 levels. An increase in trans-pacific capacity and looser visas restrictions will continue to drive growth. In other popular Chinese tourist destinations like Japan, Korea, Australia and Europe, the yuan is still at a two year, or longer, high. The outlook remains bright - and a great deal for China's tourists as they are better accommodated.