US International Travel Drops 11% Causing $12.5B Tourism Loss

The United States is experiencing a significant decline in international visitors and tourism revenue, driven by political tensions, immigration enforcement policies, and economic factors such as a strong dollar. In March 2025, international arrivals dropped by 11.4% compared to the previous year, with notable decreases from Western Europe, South and Central America, Mexico, and Canada, partly due to updated travel advisories following detentions and stricter border controls. The World Travel and Tourism Council projects a $12.5 billion decline in foreign travel spending for 2025, bringing total international tourism revenue down to under $169 billion, a 22.5% decrease from 2019 levels. Border cities, especially those near Canada, are expected to be disproportionately affected, while some domestic travel destinations may benefit as U.S. travelers opt for local vacations. Industry leaders emphasize that these declines are linked to perceptions created by former Trump administration policies, though they express readiness to work with the government to restore the U.S. as a welcoming destination. Overall, the downturn reflects fears of detainment, visa complications, and economic deterrents impacting the U.S. hospitality sector.