Japan, South Korea, and Southeast Asia Surge in Tourism While U.S. Struggles to Recover

Published on November 29, 2025

The global tourism sector is experiencing a dramatic resurgence in 2024, as countries in Asia and Europe emerge as top destinations. While nations like Japan, South Korea, and Southeast Asia are benefiting from an influx of travelers, the United States is struggling to regain its pre-pandemic tourism levels. Several factors, including visa delays, high costs, and stringent immigration policies, have left the U.S. trailing behind as other destinations capture the lion’s share of global tourism demand.

The pandemic severely disrupted international travel, with prolonged border closures, mandatory quarantines, and flight cancellations grounding millions of travelers. However, with restrictions lifting and borders reopening, pent-up demand for travel has led to one of the fastest expansions in tourism history. As airlines restored capacity and currencies shifted, tourism-dependent countries acted quickly to capitalize on the surge.

Japan and South Korea Lead the Charge

Among the most significant success stories in tourism recovery are Japan and South Korea. Both countries saw their borders re-open and were able to attract visitors at an unprecedented pace. Japan’s tourism growth has been fueled by the country’s weak yen, which has made it far more affordable for travelers, particularly those from the U.S., Europe, and the Middle East. Cities like Tokyo, Osaka, and Fukuoka have reported record-breaking demand, with accommodations often booked months in advance.

The affordability of Japan’s attractions, from regional train services to mid-range hotels, has driven this surge in travel. Cultural interest in Japan, along with favorable exchange rates, has made it an irresistible destination for tourists seeking both unique experiences and value for money.

South Korea, with its rich cultural exports such as K-pop, television dramas, and food, has similarly attracted significant attention from international travelers. Seoul’s re-opening coincided with a rise in Korean cultural influence worldwide. As a result, independent travelers and those seeking trendy destinations have flocked to South Korea, with cities like Busan, Jeju, and Daegu seeing sharp increases in tourism. Social media platforms have been instrumental in driving this interest, especially among younger travelers, many of whom plan short, video-driven trips.

Southeast Asia Benefits from Streamlined Visa Processes

Southeast Asia has also seen a dramatic rebound. Countries like Thailand, Vietnam, Malaysia, and Indonesia have benefited from their early investments in digital visa systems, which made entry far smoother than in the past. This, combined with favorable exchange rates and competitive airfares, has helped Southeast Asia capture a large share of the travel surge.

For instance, Thailand’s tourism sector saw a strong recovery due to both the ease of entry and the affordability of services once visitors arrived. Destinations like Bangkok, Phuket, and Chiang Mai have attracted large numbers of international tourists, especially from Europe and the U.S. Vietnam and Malaysia followed suit, offering easy entry and great value for money, positioning themselves as leading contenders in the post-pandemic tourism race.

Europe’s Steady Recovery

Europe’s recovery, while steady, has also shown strong results, especially in countries like Spain, Italy, and Greece. These nations took early steps to stimulate tourism, offering tax incentives, simplified entry procedures, and other measures to boost demand. Several European cities also attracted a growing number of remote workers, who blended travel and work, extending their stays and spending in local economies.

Spain, in particular, has thrived due to its strategic marketing efforts and investment in tourism infrastructure. Cities like Barcelona, Madrid, and Seville have seen tourism numbers surpass pre-pandemic levels, with a strong influx of both short-term visitors and long-stay travelers.

U.S. Faces Challenges in Regaining Its Status

While many regions are enjoying booming tourism, the United States has not been able to keep pace. Despite being one of the world’s most popular tourist destinations before the pandemic, international arrivals remain below pre-2020 levels. A combination of factors — including visa delays, the strong U.S. dollar, and tightened immigration policies — have led to reduced interest from foreign travelers.

One of the major issues for international visitors is the prolonged visa backlog, with some consulates reporting waiting times of several months. These delays have pushed potential tourists toward other destinations where visa processing is quicker and more predictable. Countries like Japan and South Korea have gained the upper hand, offering more favorable entry policies and attractive price points for travelers.

The strong U.S. dollar, while beneficial for American travelers heading abroad, has made the U.S. an expensive destination for foreign visitors. This, coupled with high hotel rates in major cities like New York and Los Angeles, has deterred many from visiting. Travelers are opting for destinations with more favorable exchange rates, where they can stretch their budgets further.

Impact on the U.S. Tourism Industry

The lack of international visitors is having a direct impact on the U.S. tourism industry. Hospitality sectors in California, Nevada, and Hawaii have reported reduced foreign tourist traffic, leading to lower revenues. Museums and cultural institutions, which rely heavily on spending from international visitors, have seen a significant drop in attendance and sales.

The U.S. is also facing a decline in international students, who often begin their experience as short-term visitors before enrolling in academic programs. This trend poses a long-term threat to U.S. universities that depend on foreign tuition.

Conclusion: The U.S. Needs to Adapt

As the global tourism market continues to grow, the U.S. risks losing its competitive edge unless it adapts to the new post-pandemic travel landscape. Other countries are leveraging more welcoming policies, lower costs, and streamlined visa processes to capture the attention of international travelers. For the U.S. to regain its place as a top global destination, it will need to focus on easing entry restrictions, improving the visa process, and offering more affordable options to international visitors. The tourism industry’s future in the U.S. will depend on its ability to evolve in a rapidly changing global market.