U.S. Tourism Slump Hits Ninth Month

The U.S. experienced its ninth consecutive month of declining international arrivals, with overseas visitors falling 4.2% in January 2026 to 2.4 million. The sustained tourism slump keeps inbound travel well below pre-pandemic levels, impacting hotel occupancy and major attractions. Industry leaders express concern about the pace of recovery even as global tourism rebounds elsewhere.

- The decline in tourism has been linked to the second "Trump Slump," with the U.S. being the only country out of 184 analyzed to see a decrease in international visitor spending in 2025. - A significant factor in the downturn is a sharp drop in Canadian visitors, who are the largest source of inbound U.S. tourism; there were 4 million fewer Canadian visitors in 2025, a 22% decrease that cost the U.S. economy an estimated $4.5 billion. - Visitors from Europe and Asia also saw steep declines in January, down 5.2% and 7.5% respectively, with airline bookings from Europe for the peak summer months down over 14% compared to the previous year. - Restrictive travel policies have made it more difficult and expensive for foreign travelers to enter the country, with new visa fees and full travel bans for 19 countries. - Exceptionally long visa processing times are a major deterrent for potential visitors, with wait times at some U.S. consulates exceeding 850 days, potentially impacting attendance at major upcoming events like the 2026 FIFA World Cup. - While many international destinations have seen tourism rebound, the U.S. is projected to see a continued decline, with one forecast predicting an 8.2% drop in foreign tourists for 2025, a stark reversal from an expected 9% increase. - The U.S. dollar's strength against other currencies has made travel to the United States more expensive for many international tourists, contributing to the decline. - Despite the overall slump, some positive signs for the future include an expected 3.9% growth in international inbound travel in 2026, partly driven by the FIFA World Cup, and a projected $1.2 trillion in total U.S. travel spending.

Get your own daily briefing

Scout delivers personalized news, insights, and conversations tailored to your role and industry.

Download on the App Store

Shared from Scout - Be the smartest in the room.