The United States is on track to lose US$12.5 billion in international visitor spending this year and is projected to be the only country among the 184 analysed that is forecast to see inbound visitor spending decline in 2025, the World Travel & Tourism Council (WTTC) said.
The latest Economic Impact Research from the WTTC and Oxford Economics found that international visitor spending to the US is projected to fall to just under US$169 billion this year, down from US$181 billion in 2024, a 22.5% decline compared to the previous peak.
"The US is welcoming fewer visitors from its neighbours and countries further afield, which is a clear indicator that the global appeal of the US is slipping," the organisation said.
The downturn, it added, will impact "communities, jobs and businesses from coast to coast”.
"This is a wake-up call for the US government," Julia Simpson, the WTTC's CEO, said in a statement. "The world's biggest travel and tourism economy is heading in the wrong direction, not because of a lack of demand but because of a failure to act.
“While other nations are rolling out the welcome mat, the US government is putting up the 'closed' sign."
Simpson added that without urgent action to restore international traveller confidence, it could take several years for the US just to return to pre-pandemic levels of international visitor spend, not even the peak from 10 years ago.
Simpson did not cite any of the probable reasons for the downturn, such as the tariffs and tariff threats on countries around the world; President Trump's rhetoric about making Canada the 51st US state; and concerns from European governments about the detainment of European tourists at the Canada and Mexico borders.
The WTTC said that US Department of Commerce numbers from March show a “sharp and widespread” in inbound travel from many of the country's key source markets.
"As widely expected, the Canadian market is drying up, with early summer bookings down over 20% compared to last year," the report said. "This is more than a dip. It's a wake-up call."
The WTTC said that in 2024, nearly 90% of all tourism spending came from domestic travel, with Americans vacationing at home in record numbers.
The organisation said this heavy reliance on "homegrown tourism is masking a serious vulnerability: The international market is where the real growth lies, and the US is losing its crown”.
In 2019, the WTTC said, international visitors to the US generated US$217.4 billion in revenue and supported almost 18 million jobs.
"Today, that legacy is under threat," the organisation said. "WTTC is calling for immediate action to address travel access, rebuild international marketing efforts and restore global traveller confidence in the US.”