TOURISM DECLINE: USA LOSING GROUND IN EUROPEAN MARKET
The US tourism sector is reeling from a significant drop in visitor numbers from Europe. Experts predict that full recovery will not be possible until 2029.
The US is facing a significant decline in international tourism. In particular, the drop in the number of visitors from Europe is leading to economic losses throughout the sector.
According to data from the Italian International Trade Administration (ITA), there was a 17% decrease in travel from Europe to the US in the first quarter of 2025. The number of visitors from Germany fell by 29%, while the decrease from Italy remained at 9.5%. This decline is estimated to have cost the US economy between $12 and $13 billion.
According to Tourism Economics' Global Travel Service analysis, there are a number of reasons behind this decline. These include uncertainties regarding border policies and immigration issues, the competitive disadvantage created by the strong dollar, the economic slowdown in Canada and Mexico, government productivity initiatives, and ongoing uncertainties about the national economy.
Projections released in the US in December 2024 expected an 8.8% increase in international visitor numbers and a 16% increase in spending in 2025. However, Tourism Economics announced that these estimates have been revised and that international visitor traffic will not fully recover until 2029.
