Published on December 11, 2025
By: Tuhin Sarkar

Nevada, California, New York, Florida, Hawaii, and other U.S. states are experiencing a devastating tourism slump in 2025. Despite the ongoing recovery of global travel, these states are struggling to attract international visitors, and it’s causing a severe economic impact. The introduction of new visa fees, including the visa integrity fee of 250 USD, is making it harder and more expensive for tourists to visit the U.S. Moreover, the travel advisory and trade tariff disputes have also added a layer of complexity, pushing potential travellers to reconsider their plans. The 250 USD hefty park tax for non-residents visiting U.S. national parks, especially iconic ones, further discourages international tourists who are already facing high travel costs.
In addition to these financial barriers, the U.S. is implementing social media checks, a policy that demands extensive data collection, including social media histories, email addresses, and phone numbers from international visitors. This new requirement only adds to the growing perception that the U.S. is becoming an unwelcoming destination.
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As these states grapple with a tourism crisis, the country is on the brink of hosting major events like the FIFA World Cup 2026, Super Bowl LX, Summer Olympics and America 250. These global events should be drawing crowds, but the combination of rising costs and restrictive policies is threatening to dampen the expected tourism surge. To learn how these factors are shaping the U.S. tourism landscape and what it means for the upcoming major events, read the full story.

In 2025, U.S. tourism has hit a devastating slump that no one saw coming. Across the country, states are facing unimaginable declines in visitor numbers. This isn’t just a small drop – it’s a catastrophe that’s shaking the core of the American tourism industry. From Las Vegas to California, Florida to Hawaii, the once thriving U.S. tourism sector is now struggling to stay afloat. The reasons behind this dramatic decline are shocking and multifaceted. Political decisions, rising travel costs, and changing international perceptions are contributing to one of the worst years in tourism history for the United States.
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| State (or State‑case) | Estimated 2025 Slump Exposure / Impact Level | Key Supporting Data / Observations (2025) | Primary Drivers / Vulnerabilities |
|---|---|---|---|
| Nevada (esp. Las Vegas / Strip / Resorts) | Very High | Reports show ~13% drop in international tourism, ~11% overall drop in June 2025 vs prior year; hotel occupancy down ~15%. | Heavy dependence on international visitors (Canada, Mexico, overseas); tariff‑ and policy‑driven decline in foreign demand; strong USD increasing costs; “anti‑U.S.” sentiment among some travellers. |
| California | High to Moderate | Media and tourism‑industry commentary list California among states hit by tourism slump. | Reliance on overseas and Canadian tourists; strong dollar and higher travel costs; negative international perception; decline in major‐city / entertainment‑area footfall (e.g. Hollywood / L.A.). |
| Florida | High to Moderate | Identified among top states suffering due to drop in Canadian and international visitors. | Large share of tourists historically from Canada and international markets; 2025 Canadian tourism plunge reduces arrivals; higher cost, policy‑ and sentiment‑based deterrents. |
| New York (state / metro including New York City) | High to Moderate | Decline in foreign arrivals affecting NYC tourism in 2025 reported in media. | International entry hurdles, visa/policy uncertainty, negative sentiment abroad; global travellers opting for other destinations; reduced Canadian traffic along northern/Upstate corridors. |
| Texas | Moderate | Mentioned among states likely to face steep declines due to drop in Canadian and international visitors. | Some dependence on international visitors; rising access/travel costs; currency exchange disadvantage; broader national slump in inbound tourism affecting gateway states. |
| Hawaii | Moderate to High | Resort/tourism‑heavy state often reliant on international visitors including Canadians / overseas — likely impacted by broader U.S. tourism slump. (While direct 2025 data by state is limited.) | High reliance on overseas / long‑haul tourism; cost sensitivity due to long flights and accommodation; reduction in high‑spending foreign demand. |
| New Hampshire (and other northern–border / Canada‑adjacent states) | High | Journalistic reports indicate Canadian tourism collapse in 2025 hitting border / resort states hard; some regions reportedly down ~30%. | Dependence on Canadian land/air tourists; 2025 steep drop in Canadian cross‑border travel; negative sentiment, policy/political tensions deterring Canadian visitors. |
| Maine (and similar border / resort states) | High | As above — border / resort states broadly impacted by collapse in Canadian tourism flows. | Dependence on Canadian and cross‑border tourism; 2025 Canadian travel plunge; vulnerability due to smaller local/domestic tourism base. |
| Vermont (border / resort state) | High | Among states cited in reporting on the impact of Canadian tourism collapse on U.S. border/ resort states. | As above: heavy reliance on Canadian tourists for resorts, short‑breaks; 2025 Canadian reduction; limited alternative tourism base. |
| Washington (state) | Moderate | As a Pacific‑Coast gateway and border/entry‑point state with some international tourism dependence, likely affected by broader slump. (Not directly quantified, but falls in same group as other high‑impact gateway/resort states.) | International arrivals down; strong dollar; fewer foreign visitors; reduced airline/air‑travel demand; overall negative perception of U.S. among some foreign markets. |
| Nevada (other than Las Vegas) / resort‑adjacent zones | High | Given heavy statewide dependence on tourism, and especially Las Vegas, spillover impacts likely across tourism‑reliant zones. | Broad statewide impact from drop in visitor numbers, hotel stays, resort bookings; fewer international gamblers or tourists; cost, policy, and perception headwinds. |
| Arizona (as a neighboring state to major tourist hubs, with some resort / tourism‑heavy zones) | Moderate | While not directly cited in 2025 slump articles, as a southwestern U.S. state with tourism links, likely impacted by broader downward trend — especially international demand shift. | Reduction in inbound visitors, fewer international holidaymakers; economic headwinds; overall U.S. tourism slump. |
| Colorado (mountain‑/resort‑tourism dependent) | Moderate | Indirectly exposed: resort and nature‑tourism states relying on domestic and international travellers likely feel pinch in international leg. | Fewer foreign tourists, weaker demand for long‑haul resort travel; cost sensitivity; global economic uncertainty reducing long‑distance tourism. |
| Washington D.C. / Surrounding areas (federal‑visitor & municipal tourism) | Moderate to High | As national-capital region largely dependent on international/foreign visitors (business, tourism, conferences), likely experiencing downturn in foreign arrival numbers consistent with national slump. | International-entry restrictions, negative sentiment, visa/immigration policy uncertainty deterring travellers; overall drop in foreign demand. |
| Texas (Southern border / gateway zones) | Moderate | Listed among states expected to see steep declines due to drop in international and Canadian visitation. | Impact via reduced foreign and cross‑border travel; weaker demand for tourism; cost and perception issues; less offset from domestic tourism for international‑dependent zones. |

The Trump administration has unveiled a controversial new policy that would require all foreign tourists to provide their social media histories from the past five years before being allowed entry into the U.S. This notice, published in the Federal Register on Tuesday, mandates that new entrants, regardless of whether they require a visa, provide this data. This policy includes visitors from countries like the United Kingdom and Germany, where citizens currently do not need a visa to visit the U.S. These countries’ residents typically complete an Electronic System for Travel Authorizations (ESTA) to gain entry, but now this new measure could create an additional barrier for travellers.
The data collection will include email addresses, telephone numbers, and addresses used in the last five years, as well as family members’ names and details. This move by the U.S. Customs and Border Protection (CBP) is in line with the Trump administration’s broader strategy to tighten U.S. borders and impose stricter immigration controls. The administration has already significantly restricted visa processes, including requiring some visa applicants to make their social media profiles public, a change that drew backlash from privacy advocates like the Electronic Frontier Foundation. These measures, they argue, are designed to monitor and suppress the online activity of foreign individuals, particularly students and other visitors.
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In addition to the data collection, the Department of Homeland Security is also considering expanding these policies, including implementing online reviews for additional visa types, such as H-1B visa holders. These developments are coming at a time when the 2026 FIFA World Cup is scheduled to be held in the U.S., which is expected to draw fans from all over the globe, including the UK and other countries where visa requirements have been waived.
The public has 60 days to comment on this proposal, and it is clear that these new data collection measures could pose significant hurdles for international visitors, further contributing to the growing perception of the U.S. as an unwelcoming destination.
Las Vegas, the glittering heart of Nevada, has been hit hardest by this tourism collapse. The famous Las Vegas Strip is now a shadow of its former self, with international visitors dropping by over 12% in 2025. This decline is being felt deeply in the resort and casino industry, with hotel occupancy rates falling dramatically. Reports show that the once-bustling hotel lobbies are now eerily quiet, and the lack of international tourists is making it harder for local businesses to survive. The primary culprit? The staggering drop in Canadian visitors. As cross-border travel has plummeted due to the political climate and rising visa issues, Las Vegas, a city historically reliant on its international clientele, is struggling to regain its footing.
California, the land of sun, stars, and world-famous landmarks like Hollywood, is also feeling the full force of the 2025 tourism collapse. In the first half of the year, international visitors to California dropped by 1.43% compared to 2024. While this may seem small, the impact on the economy is enormous. Iconic spots like Los Angeles and San Francisco are seeing fewer tourists, and local businesses are paying the price. The cause? The U.S. government’s tough stance on immigration and visa policies has created a chilling effect on foreign visitors, especially from key markets in Europe and Asia. Moreover, the strong U.S. dollar is making the cost of visiting California even higher for foreign travellers, leading many to opt for more affordable destinations.

Florida, known for its sunny beaches and world-class theme parks, is facing its own tourism crisis. Tourist arrivals from Europe and Canada have dropped significantly in 2025, leading to severe losses for the state’s economy. The tourism slump is particularly devastating for areas like Orlando, which is heavily reliant on international tourists. Florida’s tourism industry has always thrived on visitors from overseas, but with the political rhetoric in Washington D.C. becoming increasingly anti-immigrant, many foreign tourists are choosing to vacation elsewhere. On top of that, the rising costs of flights, accommodations, and activities are pricing out budget-conscious travellers. With the summer season in full swing, Florida’s once-bustling tourist attractions are quieter than ever before.
Hawaii, often referred to as a paradise on Earth, is also feeling the sting of a sharp tourism decline. Once a popular destination for international travellers, Hawaii’s tourism industry has been significantly impacted by the U.S. slump. As the cost of flying to the islands increases, fewer international tourists are willing to make the long journey. This drop in tourism is compounded by global economic uncertainty and negative perceptions of the U.S. overseas. Hawaii, like many other tourism-dependent states, is seeing its visitor numbers fall sharply, and local businesses are struggling to stay afloat as a result. Despite being a beautiful and exotic destination, Hawaii’s tourism prospects for 2025 are grim.Event Date Location(s) Description Tourism Impact FIFA World Cup 2026 June – July 2026 11 U.S. cities (co‑hosts: Mexico, Canada) U.S. co-hosts the World Cup with Mexico and Canada, with 60 matches held across 11 major cities like New York, Los Angeles, and Miami. Massive influx of international visitors; significant boost to travel and hotel sectors in host cities. Great for cultural exchange, sport tourism, and event-driven visits. Super Bowl LX (NFL 2026) February 2026 TBD (likely major U.S. city) 60th edition of the NFL’s Super Bowl, marking the beginning of America’s 250th anniversary celebrations. Attracts international visitors, high demand for accommodations, sports fans, and major advertising-driven events. America 250 – U.S. Bicentennial 2026 (year-long) Nationwide Nationwide celebrations marking the 250th anniversary of the United States, featuring cultural festivals, national heritage events, parades, etc. A year of celebrations with cultural tourism, heritage tours, public events, and domestic travel; ideal for U.S.-based historical tours and regional travel. U.S. Presidential Election (2026) November 2026 Nationwide The U.S. holds its presidential election, with political conventions, rallies, and public events tied to this landmark election year. Boost in domestic travel around election-related events, rallies, debates; potential international interest in the political climate. Cultural and Arts Festivals Throughout 2026 Various U.S. cities Major film festivals, arts exhibitions, theatre performances, and cultural events throughout the year (e.g., Sundance, SXSW). Increased international and domestic cultural tourism; visitors attracted by U.S. as a hub for arts and entertainment. National Parks Centennial 2026 (year-long) National Parks Nationwide Celebrating the 100th anniversary of the National Park Service, with special programs, park enhancements, and community events in parks. Surge in interest for U.S. national parks as tourism sites; eco-tourism and nature-based experiences become a significant draw for both local and international visitors. The 2026 Summer Olympics (Los Angeles) July-August 2026 Los Angeles, California Los Angeles hosts the Summer Olympics, bringing thousands of athletes and spectators to the U.S. for this global sporting event. Major international tourism draw, particularly from Olympic nations; potential for high levels of tourism spending in LA and California during the event.
The U.S. border states, including Vermont, New Hampshire, and Maine, have been hit particularly hard by the collapse of Canadian tourism. Canada, which has long been one of the largest sources of visitors to the U.S., is seeing its outbound tourism to the country plummet in 2025. Political tensions, higher tariffs, and stringent visa policies are making it increasingly difficult for Canadians to visit. As a result, these border states, which rely heavily on cross-border tourism, are seeing massive declines in visitor numbers. The tourism slump is devastating for local economies, with businesses that have depended on Canadian tourists for decades now facing uncertain futures.
The most immediate and visible factors affecting U.S. tourism are the policy barriers set by the government that make it harder and more expensive for international visitors to enter the country.
A. Visa and Entry Complexity:
A primary issue is the lengthy visa processing times at U.S. consulates across the globe. Congressional Research Service (CRS) reports highlight that visa delays have stretched to several months, forcing many international tourists and business travellers to either cancel or postpone their trips to the U.S. This has led to a shift in tourist spending to countries with more accessible entry processes.
B. Rising Visa Fees:
In addition to delays, new visa integrity fees of up to $250 have been introduced, which significantly increase the cost of travel to the U.S. These rising costs make it less affordable for family groups, students, and budget-conscious travellers to consider the U.S. as a viable destination. In comparison, other destinations have simpler and cheaper entry requirements, further weakening the U.S.’s competitiveness in the global tourism market.
C. Enhanced Traveler Scrutiny:
With the introduction of more stringent border security measures, international visitors now face more extensive documentation requirements, including social media history and personal data, raising privacy concerns. This not only complicates the entry process but also contributes to the perception that the U.S. is an unwelcoming destination. The more difficult the entry process, the less likely visitors are to choose the U.S. for their vacation or business trip.
Brand USA is the public-private partnership responsible for promoting the U.S. as a top global travel destination. However, recent budget cuts have hindered its ability to compete with other countries investing heavily in destination marketing.
A. Reduced Funding for Global Campaigns:
Congress has significantly slashed the federal matching funds for Brand USA, dropping them from $100 million to a fraction of that amount. Without sufficient funding, the U.S. has been unable to sustain its global marketing campaigns, leaving room for competing countries to capture the attention of potential tourists. As a result, the U.S. has missed opportunities to attract international tourists, especially during events like the 2026 FIFA World Cup and the 2028 Summer Olympics, which would otherwise generate millions in tourism revenue.
B. Missed Mega-Event Opportunities:
The lack of adequate funding for Brand USA also means that the U.S. is underperforming in its promotion of upcoming global events. These mega-events have the potential to bring a massive influx of international visitors and significantly boost the U.S. economy. However, without proper marketing, these events may fail to reach their potential, leading to a further decline in tourism.
While policy barriers and marketing challenges contribute to the slump, the economic fallout from this tourism decline is even more alarming. The U.S. is facing a travel trade deficit, meaning that U.S. residents are spending more on foreign travel than foreign visitors are spending in the U.S.
A. Rising Travel Trade Deficit:
The Bureau of Economic Analysis (BEA) has reported a growing travel trade deficit, which is approaching a staggering $70 billion annually. This represents a historic shift from previous years, when the U.S. enjoyed a tourism surplus. Now, U.S. residents are spending significantly more on international travel than foreign tourists are spending in the U.S., directly affecting the balance of payments and weakening the U.S. economy.
B. Loss of Export Revenue:
Tourism is a major export service for the U.S., contributing billions of dollars annually. Official estimates suggest that every 1% decline in international visitor spending leads to an approximate $1.8 billion loss in export revenue. This is a substantial blow to the U.S. economy, especially in sectors like hospitality, retail, and airlines, which depend heavily on international tourists for revenue. The ongoing downturn threatens the livelihoods of millions of workers in these industries.

Finally, broader geopolitical tensions and economic headwinds are contributing to the decline in U.S. tourism.
A. The Strength of the U.S. Dollar:
The sustained strength of the U.S. dollar has made travel to the U.S. more expensive for international visitors. As the dollar strengthens, it reduces the purchasing power of foreign tourists, making the U.S. a less attractive destination compared to countries in Europe, Asia, or Latin America where travellers can get more value for their money.
B. Geopolitical Uncertainty and Negative Global Sentiment:
Tensions between the U.S. and key global partners, particularly in the Asia-Pacific region, have created negative sentiment toward U.S. travel. Visitors from countries like China, India, and Europe are increasingly hesitant to travel to the U.S. due to perceived risks and uncertainties surrounding visa policies, security measures, and political rhetoric. This geopolitical environment has compounded the existing challenges, reducing the U.S.’s appeal as a global tourism destination.
| Rank | Country | Recent arrivals |
|---|---|---|
| 1 | Canada | ~ 20.24 million visitors in 2024 |
| 2 | Mexico | ~ 16.99 million visitors in 2024 |
| 3 | United Kingdom | ~ 4.04 million visitors (excluding Canada/Mexico) in 2024 |
| 4 | India | ~ 2.19 million visitors (2024) (Trade.gov) |
| 5 | Germany | ~ 1.99 million visitors (2024) (Trade.gov) |
| 6 | Brazil | ~ 1.91 million visitors (2024) (Trade.gov) |
| 7 | Japan | ~ 1.84 million visitors (2024) |
| 8 | France | Among top 20 source countries in 2024 inbound‑travel data. |
| 9 | South Korea | Historically among top 20 markets for U.S. inbound travel (though 2025 data shows declines). (Congress.gov) |
| 10 | Colombia | Noted among significant overseas arrivals in mid‑2025 data. |
| 11 | Australia | Typically part of larger “overseas markets” delivering steady arrivals (pre‑2025). |
| 12 | Spain | Historically a relevant European source country (among top 20) in U.S. inbound‑travel data. (Congress.gov) |
| 13 | Italy | Among European nations contributing to U.S. inbound arrivals in recent years. (Congress.gov) |
| 14 | Netherlands | Part of broader European source‑market set regularly listed among top 20 in official statistics. |
| 15 | Switzerland | Historically among European feeder markets for U.S. travel. |
| 16 | Belgium | Included in U.S. inbound‑travel statistics among smaller but regular markets. |
| 17 | Sweden | Among Northern European countries contributing to U.S. tourism numbers in aggregated data. |
| 18 | Argentina | Noted in 2025 as among overseas markets with some growth, though smaller absolute volumes. (Congress.gov) |
| 19 | Israel | Appears in broader “top‑20” arrivals dataset as of mid‑2025. (Congress.gov) |
| 20 | Colombia (alternate ranking variable) | As above, Colombia remains among the recently highlighted top overseas visitor sources. |
One of the biggest reasons for the 2025 U.S. tourism slump is the tightening of immigration and visa policies under the Trump administration. The government’s stance on stricter border control measures, heightened screening for travellers, and increased visa fees have made the U.S. a less attractive destination for international visitors. Visitors from Europe, Asia, and even neighbouring countries like Canada are now hesitant to visit, fearing delays, extra costs, and potential denial of entry. This political environment has severely damaged the U.S.’s image as a welcoming and accessible country for travellers.
Another key factor contributing to the tourism slump in the U.S. is the sharp rise in travel costs. Airfares are up, hotels are charging more, and even simple activities like sightseeing or eating out have become more expensive. The U.S. dollar’s strength has made it harder for international tourists to afford their trips. What was once a budget-friendly holiday destination is now increasingly out of reach for many. As the cost of travel continues to rise, tourists are choosing alternative destinations where they can get better value for their money.

The negative global perception of the U.S., especially under the Trump administration, is another major factor behind the tourism slump. The rhetoric around immigration, travel bans, and the “America First” policies have created a chilling effect on international travel to the U.S. Many countries now view the U.S. as unwelcoming, and this perception has been exacerbated by the government’s stance on foreign visitors. As a result, international tourists are opting for countries with more open and friendly policies, further exacerbating the slump in U.S. tourism.
The U.S. travel industry is scrambling to respond to the crisis. Tourism boards, airlines, and local governments are doing their best to attract visitors, but it’s clear that this slump is not going to end quickly. Many states are now offering discounts, packages, and special promotions to try to lure tourists back. But the overall decline in international tourism, coupled with the rising costs of travel, makes it difficult for the U.S. to reclaim its position as the top tourist destination in the world.
The U.S. tourism industry is in crisis, and the 2025 slump shows no signs of easing. States like Nevada, California, Florida, and Hawaii are among the hardest hit, and with fewer international visitors, many businesses in these regions are struggling. The reasons behind this tourism collapse are multifaceted: tighter immigration policies, rising travel costs, a strong U.S. dollar, and a growing global perception of the U.S. as an unwelcoming destination. While domestic tourism remains strong, the U.S. may never fully recover its global status as a top tourist destination without significant policy changes and a shift in international perceptions. The U.S. tourism industry needs to act fast to reverse these trends, or the damage could be long-lasting.
The decline in international tourism to the U.S. in 2025 is driven by a combination of factors, many of which are linked to recent government policies. These policies have increased both the cost and complexity of visiting the United States, making it a less attractive destination for foreign visitors. The new Visa Integrity Fee, implemented by the U.S. Department of State and Department of Homeland Security, has added an additional US$250 charge for non-immigrant visa applicants, increasing the financial burden on international travellers.
Furthermore, the introduction of $250 national park fees for non-U.S. residents has significantly increased the cost of visiting U.S. national parks, a major attraction for international tourists. Starting January 2026, foreign visitors will face a US$100 surcharge to enter some of the most popular parks, such as Yellowstone and Yosemite, on top of the standard entrance fees. This change could deter travellers from choosing the U.S. for their vacations, as they seek more affordable options elsewhere (doi.gov).
With rising visa costs and the perception of a less welcoming environment, the U.S. risks losing its status as a premier travel destination unless these policies are reevaluated. These measures, alongside the economic challenges and geopolitical tensions, are contributing to a significant downturn in international tourism.
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