Islamabad, May 13, 2025: The United States is bracing for a sharp 7% decline in international travel spending in 2025—an estimated loss of $12.5 billion—as global tourists begin to look elsewhere, says the World Travel and Tourism Council (WTTC).
A mix of political tension, stricter border policies, and an increasingly strong U.S. dollar is pushing foreign travelers to favor more welcoming destinations.
According to Julia Simpson, President and CEO of the WTTC, the U.S. is the only country among 184 analyzed to see an absolute drop in international visitor expenditure.
“The U.S. is losing its grip on the global travel crown,” she noted. While the U.S. maintains its status as the world’s biggest travel and tourism economy, it’s now struggling to retain foreign interest.
In 2025, international visitor spending in the U.S. is projected to fall to below $169 billion, down from $181 billion in 2024, and a steep 22% below the pre-pandemic peak in 2019.
The rising cost of travel due to a robust U.S. dollar has already hurt spending, but political uncertainty is now adding to the downturn.
One major factor driving away tourists is the perception of unwelcoming immigration and visa policies. Germany, for instance, recently updated its U.S. travel advisory after reports of German nationals being detained at the border—even those with valid visas or entry waivers.
Read More: Azerbaijan Army Fired Upon from Chambarak Area
Additionally, new U.S. rules requiring all foreigners aged 14 and above to register and provide fingerprints if staying over 30 days have raised eyebrows, particularly among Canadians who were once exempt.
“The rest of the world is putting out welcome mats, while the U.S. seems to be rolling out ‘closed for business’ signs,” said Simpson in an interview with Reuters.
This decline is especially alarming given that foreign travelers tend to spend significantly more than domestic tourists. Data from the U.S.
Travel Association reveals that Canadian visitors alone spend three times more than U.S. residents on American holidays, while overseas tourists outspend locals by up to eight times.
