The United States could lose up to $20 billion in tourism spending this year as growing numbers of international visitors cancel their plans to visit.
Concerns over border experiences, political tensions, and a shifting global mood are pushing travelers to choose other destinations, with wider effects on the US economy.
Recent data shows that in March, arrivals of foreign travelers by air dropped nearly 10% compared to the same month last year. That decline is part of a trend that analysts fear could grow worse. Goldman Sachs warned that in the worst case, reduced travel and consumer boycotts could shrink the US economy by 0.3% of its GDP—an amount that adds up to nearly $90 billion.
For several years, foreign tourism helped support the US economy, especially after the lifting of pandemic-related restrictions. Tourists returned in large numbers, filling hotels, restaurants, and attractions across the country. But that comeback now appears to be fading.
Part of the reason is how visitors perceive their welcome in the US. Reports of longer border checks, harsh treatment of non-citizens, and broader political rhetoric have left many unsure about whether they would feel safe or valued during their stay. At the same time, tensions between the US and other countries are affecting public opinion abroad.
Some tourists are choosing to take their money elsewhere. One such traveler, Curtis Allen from Canada, decided to cancel a planned US camping trip. Frustrated by political comments and trade policies targeting his country, he and his partner will spend their vacation closer to home in British Columbia. He has also stopped buying American products where possible, including canceling streaming services.
This shift in behavior reflects a broader trend. Travelers are becoming more selective, and political views are influencing personal spending habits. For a country that relies heavily on tourism income, especially in cities like New York, Los Angeles, and Orlando, the ripple effects could be wide-ranging.
Businesses in the travel and hospitality industry are watching the developments closely. Airlines, hotels, and tourist attractions that depend on international guests could face lower revenues if the trend continues through the peak travel season.
While US tourism has bounced back from downturns before, the current situation combines economic concerns, diplomatic strain, and a changing public mood—making it harder to predict when or how the industry might recover this time. If foreign visitors continue to stay away, the financial losses may go far beyond missed vacation plans.