U.S. to lose $12.5 billion in international visitor spending in 2025

16-04-25

The U.S. economy is expected to lose an estimated $12.5 billion in international visitor spending this year, according to the latest research from the World Travel & Tourism Council (WTTC). The report warns that the United States is the only economy among 184 analyzed that will experience a decline in this category in 2025.

Spending by international travelers in the U.S. will drop to under $169 billion, down from $181 billion in 2024. This marks a 22.5% decrease compared to the pre-pandemic peak.

WTTC President and CEO Julia Simpson stated, “This is a wake-up call for the U.S. government. The world’s largest travel and tourism economy is falling behind—not due to a lack of demand, but a lack of action. While other countries are rolling out the red carpet, the U.S. is putting up a ‘closed’ sign.”

Simpson added that without urgent measures to restore international travelers’ confidence, it could take years for the U.S. to return to pre-pandemic spending levels. “This is about growing the U.S. economy—it’s possible, but it requires leadership from Washington,” she emphasized.

Widespread Decline in International Arrivals

Data from the U.S. Department of Commerce reveals an alarming decline in international arrivals as of March 2025 from several key markets:

United Kingdom: nearly 15% year-on-year drop
Germany: more than 28% decrease
South Korea: close to 15% reduction
Spain, Colombia, Ireland, Ecuador, and the Dominican Republic: declines ranging between 24% and 33%
Canada: early summer bookings dropped by more than 20%

According to WTTC, while other countries are moving forward, the U.S. is falling behind. Although domestic tourism accounted for nearly 90% of travel spending in 2024, this dependency reveals a structural vulnerability: the real growth potential lies in the international market.

A Clear Economic Cost

In 2024, the travel and tourism sector contributed $2.6 trillion to the U.S. economy, supported over 20 million jobs, and generated $585 billion in tax revenue—equivalent to 7% of total government income.

However, outbound tourism is booming, with more Americans traveling abroad, while inbound international tourism remains stagnant. This imbalance negatively affects local economies, jobs, and the U.S.’s global standing as a destination for business, culture, and commerce.

WTTC is urging immediate action to improve access to the U.S., relaunch international marketing campaigns, and restore global traveler confidence. Without intervention, the legacy of the $217.4 billion generated by international visitors in 2019 and the nearly 18 million jobs sustained by this segment is at serious risk.

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