US Tourism Faces $12.5 Billion Hit Amid Lingering Trump-Era Visa Policies and Global Perception Shift
The United States, long hailed as one of the world’s top travel destinations, is experiencing a troubling decline in international tourism—one that could cost the nation an estimated $12.5 billion in 2025, according to the latest report by the World Travel & Tourism Council (WTTC).
Tourism spending by foreign visitors is projected to fall by 22.5%, dropping from $181 billion in 2024 to under $169 billion this year. This downturn comes at a time when other countries are ramping up efforts to attract international travelers with relaxed visa rules and streamlined entry protocols. In contrast, the U.S. continues to feel the aftershocks of stricter immigration policies implemented during Donald Trump’s presidency.
Policy Fallout Haunting Tourism
According to the WTTC’s Economic Impact Research, international travelers are increasingly bypassing the U.S., citing concerns about visa uncertainty, detentions at entry points, and a growing perception of unwelcomeness. These concerns, many of which stem from the legacy of Trump-era immigration enforcement, have cast a long shadow over America’s global tourism appeal.
The WTTC report emphasizes that while domestic tourism remains strong—contributing to 90% of the country’s $2.36 trillion tourism economy in 2024—it is the international segment that holds untapped growth potential. And that, experts warn, is now under threat.
“A Wake-Up Call for the U.S. Government”
Julia Simpson, President and CEO of the WTTC, didn’t mince words: “This is a wake-up call for the U.S. government. The world’s biggest travel and tourism economy is heading in the wrong direction—not because of lack of demand, but due to policy inaction. While other countries are laying out the welcome mat, the U.S. is effectively putting up a ‘closed’ sign.”
This stark warning comes as countries like China are actively easing visa requirements and opening their borders to attract tourists, capitalizing on the global rebound in travel after the pandemic.
Numbers That Reflect a Worrying Trend
In 2024, the U.S. recorded 72.4 million international arrivals—a notable drop of 7 million compared to pre-pandemic 2019 levels. The decline has continued into 2025, with significant drops in visitor numbers from key source countries such as Canada, the United Kingdom, and South Korea, especially during the March travel window.
While some seasonal factors, like a late Easter, may have played a role, the downward trend has been persistent enough for major U.S. travel companies to revise their summer tourism forecasts.
The Global Outlier
Perhaps most alarming, the U.S. is now the only country among the 184 economies studied by WTTC and Oxford Economics expected to witness a decline in international visitors in 2025. As global travel surges and competitors embrace more inclusive policies, the U.S. risks falling behind unless swift corrective action is taken.
What Lies Ahead?
Industry experts are calling on policymakers to prioritize immigration reform, visa simplification, and international public relations campaigns to revive confidence among global travelers. Without this, America’s position as a leading travel destination—and the jobs and businesses it supports—may continue to erode.
