Published on November 28, 2025
By: Tuhin Sarkar
Hawaii joins Florida, Arizona, Nevada, Colorado, Oregon, and other U.S. states in facing a sluggish decline in international tourism and here is a new report. While these states continue to grapple with lower international visitor numbers, local tourism is experiencing a remarkable boost. As global travel struggles to recover, Hawaii, Florida, Arizona, Nevada, Colorado, Oregon, and several US destinations are witnessing an impressive surge in domestic travel, offering a glimmer of hope for their tourism industries. This shift highlights how these states are adapting to the challenges of international tourism decline, with local tourism becoming a powerful force in their recovery. Read on to discover how these states are thriving despite the setbacks!
Hawaii is one of the states where international tourism has struggled to recover since the pandemic. In September 2025, the state welcomed 690,858 visitors, 2.5% fewer than in September 2024. Only 77,216 of those were international visitors, marking an 8.1% decline compared to the previous year. Japan and Canada, once major sources of international tourism for Hawaii, have yet to return to pre-pandemic levels.
Advertisement
Despite this, Hawaii’s domestic tourism has flourished. U.S. West and U.S. East markets have been the primary drivers of recovery. In 2024, U.S. visitors made up 96% of total arrivals, and domestic spending has increased, even though the overall number of visitors has slightly declined. California leads as the biggest source of visitors, followed by Washington, Texas, and several other Western states. The focus on domestic markets has allowed Hawaii to thrive, with increased spending per visitor and longer stays.
Florida, a state traditionally dependent on international tourism, has also seen a remarkable rebound in domestic travel. In 2024, Florida recorded 142.9 million visitors, with a notable 130.7 million coming from domestic markets. International visitors, at 8.9 million, represented just 6% of the total visitation—well below pre-pandemic levels.
Domestic tourism has been a key driver of Florida’s recovery, with visitors coming from states like Georgia, New York, Texas, and New Jersey. Florida’s tourism industry capitalized on this shift, pushing the domestic market to record highs. Even with a 6.6% increase in international visitation, domestic travel continues to overshadow the international market. Florida’s tourism agencies have focused on attracting U.S. residents, and their efforts have paid off handsomely, with domestic tourism growing by 1.3% year-over-year.
In Arizona, international tourism remains sluggish, with international overnight visitation in 2023 reaching just 4.2 million, still far below pre-pandemic levels. The state’s Office of Tourism reports that the growth in international visitors has been slower than in domestic markets. However, domestic tourism has surged, with Arizona hosting 40.88 million domestic overnight visitors in 2023—a 1.7% increase compared to previous years.
Advertisement
Domestic tourism in Arizona has been dominated by visitors from within the state and neighboring states, such as California and Texas. These regions supply a substantial portion of Arizona’s visitors, helping the state overcome the international tourism gap. Local and regional tourism is now the lifeblood of Arizona’s economy, sustaining the state’s tourism industry as it navigates international challenges.
Las Vegas, one of Nevada’s top tourist destinations, has seen a significant shift in its visitor profile. While international visitors have returned to some extent, their numbers are still far below pre-pandemic levels. The Las Vegas Convention and Visitors Authority (LVCVA) reported that domestic visitors—primarily from U.S. cities like Los Angeles, San Francisco, and New York—have driven the recovery in tourism. In 2023, Las Vegas witnessed a surge in domestic leisure travel as pandemic restrictions eased.
LVCVA data indicates that top feeder markets for Las Vegas are U.S. cities such as Los Angeles, San Francisco, Chicago, and New York. California alone remains the largest supplier of visitors. While international tourism slowly reappears, the backbone of Las Vegas tourism has been its strong domestic market, which has helped the city bounce back quickly.
Colorado has experienced similar trends, with domestic tourism outpacing international travel. In 2022, the proportion of in-state visitors to Colorado’s Pikes Peak region rose from 16% before the pandemic to 22%. This indicates a strong preference for local travel among Coloradans, as well as visitors from nearby states. While international tourism is still lagging behind, Colorado’s focus on in-state and regional markets has helped fuel the recovery of its tourism economy.
The state’s tourism data shows that Texas, California, and Colorado residents themselves were the leading contributors to domestic visitation in 2023. Colorado Springs, a key destination, benefited greatly from this local tourism boom. With domestic visitors staying longer and spending more, Colorado’s tourism sector has found a sustainable source of growth, despite international travel challenges.
Oregon, like many other states, has seen international spending depressed due to COVID-19, with international visitors contributing only 4% of total visitor spending in 2023. This figure is a far cry from pre-pandemic levels, where international tourism was a significant contributor. Despite this, domestic tourism has remained strong, with Oregon residents accounting for 36% of total visitor spending, and visitors from other U.S. states contributing 59%.
Travel within Oregon and from neighboring states such as Washington, California, and Idaho has surged. In 2023, domestic visitors made up the vast majority of the state’s tourism market, helping to offset the shortfall in international tourism. Oregon’s tourism agencies have capitalized on the strong regional travel trends, focusing on attracting visitors from nearby states to support local economies.
In North Carolina, international tourism remains limited, with domestic visitors making up virtually all of the state’s tourism numbers. In 2023, North Carolina welcomed a record 43 million domestic overnight visitors, many of whom came from neighboring states like South Carolina, Virginia, and Georgia. These regional visitors have been instrumental in North Carolina’s tourism recovery, as international visitation is still far below pre-pandemic levels.
The state’s tourism profile shows that domestic visitors from nearby states dominate, with North Carolina residents themselves accounting for a large portion of tourism spending. The strong rebound of regional travel in the southeastern U.S. has played a critical role in North Carolina’s tourism success, with domestic tourism filling the void left by international travelers.
Louisiana has seen a similar trend, with domestic and intrastate travel rising sharply. A significant percentage of Louisiana’s visitors are residents of the state, with Louisiana residents making up 52.4% of all tourism in 2023. Regional visitors from Texas, Mississippi, and other nearby states have also helped compensate for the shortfall in international tourism.
In 2023, Louisiana hosted 42 million visitors, with most of them coming from within the state or nearby regions. While international tourism is still modest, domestic tourism—especially from neighboring southern states—has powered Louisiana’s tourism recovery. This shift to regional tourism has proven vital for the state’s tourism economy, which continues to thrive thanks to a strong base of domestic travelers.
Texas, one of the largest U.S. states, has also experienced a dramatic shift in its tourism landscape. In 2024, Texas welcomed 62 million visitors from across the U.S. and the world, but more than 67 million Texans traveled within their own state. This indicates that intrastate travel has surpassed international and out-of-state visitation. While international tourism has not fully recovered, the sheer volume of domestic travel has driven Texas’ tourism industry to new heights.
With Texas residents contributing the largest portion of visits, the state’s tourism division reports that domestic travel generated a staggering $97.5 billion in visitor spending in 2024. The dominance of domestic travel has been a critical factor in Texas’ recovery, with intrastate tourism continuing to outperform international visitation.
Utah has seen a steady rebound in domestic tourism, even as international travel remains sluggish. In 2023, international visitor spending accounted for just 6.9% of total spending, still far below pre-pandemic levels. Domestic tourism, however, has surged, with visitor numbers increasing by 29% for out-of-state leisure travel. Utah residents made up about 40% of the total visitors, while visitors from nearby states like California, Colorado, and Nevada filled the gap left by international tourists.
Utah’s tourism agencies have capitalized on the trend of regional and local travel, focusing on attracting visitors from nearby states. The strong growth in domestic tourism has allowed Utah to maintain a healthy tourism economy despite the slow recovery of international visitation.
Virginia has seen a sharp contrast between the recovery of domestic and international tourism. In 2023, domestic visitors accounted for 99.2% of all visitor spending, while international visitors contributed only 0.8%. International tourism continues to be well below pre-pandemic levels, but domestic tourism has remained robust. Virginia welcomed around 112 million visitors in 2023, with the vast majority coming from within the U.S.
Virginia’s focus on domestic visitors has paid off, as the state sees increased spending from local tourists. With more than 99% of its tourism dollars coming from domestic markets, Virginia exemplifies how states can thrive by focusing on their own residents and regional travelers to drive tourism growth.
The COVID-19 pandemic changed everything for global travel. While international tourism struggled to recover, domestic tourism in the U.S. surged to levels unseen in years. In 2023, data from multiple states across the U.S. revealed shocking trends. States that were once highly dependent on international visitors are now thriving on a wave of domestic tourism. It’s a shift that’s transforming the U.S. travel landscape, and some states are benefitting more than others. But why is international tourism failing to bounce back while domestic tourism booms? Let’s uncover the powerful reasons behind this phenomenon.
The pandemic didn’t just slow down international tourism—it threw it into chaos. As countries around the world locked down, travel restrictions shattered the international tourism market. And while some regions have slowly recovered, others are struggling to regain the international visitors they once enjoyed. Hawaii, for example, experienced a huge drop in international visitors in 2025, down 8.1% from the year before. Similarly, Florida, despite hosting millions of domestic visitors, still saw its international numbers lag far behind pre-pandemic levels. In fact, international visitors only accounted for 6% of Florida’s total visitation in 2024, a mere fraction compared to the overwhelming domestic tourism surge.
Countries like Japan and Canada, key international markets for states like Hawaii, have yet to send visitors back in large numbers. This slow recovery is the result of lingering travel restrictions, economic challenges, and shifting travel behaviours. While international tourism is slowly ticking back up, it’s nowhere near pre-pandemic levels, leaving U.S. destinations reliant on their domestic tourism markets.
While international tourism is still on the slow road to recovery, domestic travel has surged to new heights. In fact, every state reviewed saw record or near-record levels of domestic visitors in 2023. For instance, Florida welcomed a staggering 130.7 million domestic visitors in 2024, making up 91.5% of the state’s total visitation. This marked a 1.3% increase year-over-year. Similarly, Texas, a state where international visitation is far below pre-pandemic levels, saw 67 million Texans travel within their own state in 2024. The U.S. domestic tourism boom is undeniable—and it’s reshaping how states attract visitors.
States like Hawaii, Arizona, and Nevada saw their economies bolstered by a new wave of domestic tourism. In Arizona, for example, domestic overnight visitation reached 40.88 million in 2023, a healthy increase of 1.7% compared to previous years. With international markets struggling, the importance of domestic visitors cannot be overstated. And in Nevada’s Las Vegas, despite international visitor numbers lagging, domestic leisure travel surged strongly in 2023.
One of the biggest driving forces behind the U.S. tourism surge is the rise of intrastate and regional travel. It turns out that people are more likely to travel close to home. Hawaii’s 2025 visitor statistics show that its biggest domestic market comes from California, which sent almost 3 million visitors. Similarly, states like Florida draw heavily from nearby states like Georgia, North Carolina, and New York. Arizona and Nevada, too, rely on visitors from neighbouring Western states like California, Texas, and Colorado.
This trend highlights the growing preference for local and regional travel. More and more, U.S. residents are opting for destinations within driving distance or short-haul flights. For example, Colorado’s Pikes Peak region saw a significant rise in in-state visitors, with 22% of visitors coming from within the state in 2022. This growing preference for nearby travel also benefits neighbouring states, with Oregon seeing strong visitor numbers from California, Washington, and Idaho.
The financial implications of this shift are enormous. While international visitors may spend more per trip, the sheer volume of domestic visitors has far outpaced international travel. In Virginia, nearly 99% of all visitor spending came from domestic tourists. Texas, Florida, and Hawaii also saw overwhelming economic contributions from domestic visitors. In Texas, for instance, domestic travel generated a whopping $97.5 billion in visitor spending in 2024, outpacing international visitation by a huge margin.
States like Hawaii, Oregon, and Utah have also witnessed significant economic growth driven by domestic travel. Domestic visitors often stay longer and spend more, which has helped offset the slower recovery in international tourism. In many ways, it’s the resilience of domestic tourism that has kept these states’ economies afloat during the pandemic recovery.
The rise of regional travel has not only fueled domestic tourism but has created a new frontier for U.S. tourism. States that traditionally relied on international visitors, like Hawaii and Nevada, are now seeing a shift in their tourism base. The demand for regional tourism has surged as people choose destinations closer to home due to the pandemic’s lingering effects. States like Oregon, North Carolina, and Louisiana are capitalising on this trend, focusing their efforts on attracting visitors from neighbouring regions rather than overseas.
Regional travel also supports local economies. Small businesses, hotels, and restaurants in areas like the Pikes Peak region in Colorado and Louisiana’s New Orleans are benefiting from the influx of regional visitors. The shift towards local and regional tourism means that even remote or less-travelled destinations are becoming increasingly popular, offering new opportunities for tourism growth across the U.S.
As we look ahead, the future of U.S. tourism will likely continue to be shaped by the domestic market. While international tourism is recovering, it’s clear that U.S. residents will remain the backbone of the travel industry for the foreseeable future. States like Florida, Hawaii, and Texas have already adapted to this shift, focusing their efforts on domestic outreach and marketing. The key to future growth will be attracting visitors from within the U.S. and capitalising on the booming regional travel trend.
At the same time, international tourism will eventually recover. As restrictions ease and global economies stabilise, we can expect to see a return of international visitors. However, this recovery will be gradual, and the importance of domestic visitors will remain paramount in the near term. The rapid recovery of domestic travel could be the key to ensuring that U.S. tourism remains strong, resilient, and ready to bounce back to pre-pandemic levels in the future.
Domestic tourism is not just a temporary boost—it is the lifeblood of U.S. tourism today. With international travel still on the mend, U.S. states have turned to their own residents and regional visitors to fill the gap. States that once relied heavily on international visitors are now thriving thanks to an influx of domestic travelers. As we continue to see strong recovery in domestic tourism, it’s clear that the future of U.S. travel lies within its own borders. Whether it’s the sunny beaches of Florida, the wild landscapes of Hawaii, or the bustling streets of Las Vegas, domestic tourism is leading the charge for U.S. tourism recovery.
Advertisement
Friday, November 28, 2025
Friday, November 28, 2025
Friday, November 28, 2025
Thursday, November 27, 2025
Thursday, November 27, 2025
Friday, November 28, 2025