U.S. tourism is taking a major hit — and many in the industry are pointing to President Donald Trump as the reason. Since spring, boycotts from Canadian travelers have grown, sparked by Trump’s false claims about Canada amid a trade dispute. But it’s not just Canadians staying away. Visitors from other countries also cite the Trump administration’s tariffs, controversial immigration policies and new travel fees as reasons they’re choosing other destinations.
Plunging numbers
After initially predicting strong growth, Tourism Economics has slashed its 2025 forecast. In December, the firm projected a 9% increase in international tourism to the U.S. Now, it expects an 8.2% decline. From January to July 2025, nearly 25% fewer Canadians traveled to the U.S. compared to the same timeframe in 2024. Meanwhile, the World Travel and Tourism Council predicts the U.S. will lose $12.5 billion in international visitor spending this year, making it the only country among 184 studied that is expected to see a decline.
Policy backlash
Travelers are pushing back on more than just Trump’s statements. Some now face an added $250 “visa integrity fee.” The broader perception is that America is no longer a welcoming destination. “This is a wake-up call for the U.S. government. The world’s biggest travel and tourism economy is heading in the wrong direction, not because of a lack of demand, but because of a failure to act,” said Julia Simpson, World Travel and Tourism Council president and CEO. “While other nations are rolling out the welcome mat, the U.S. government is putting up the ‘closed’ sign. … This is about growth in the U.S. economy — it is doable, but it needs leadership from D.C.”
Tourism
Canada remains the top source of international visitors to the U.S., making up 28% of all foreign arrivals in 2024. However, with growing frustration, many Canadians are heading elsewhere. “We’re seeing Canadian travel begin to lift toward Mexico, to the Caribbean, even toward Europe in recent data,” said Adam Sacks, president of Tourism Economics. Airlines have also responded. Between April and June 2025, there were about 90,200 fewer airline seats available from Canada to the U.S., compared to the same quarter last year, according to analytics from Cirium.
Las Vegas impacted
Las Vegas, which attracts both domestic and international tourism, hasn’t been spared either. Visitor numbers are down 8% from January to July 2025 compared to the same time in 2024, according to the Las Vegas Convention and Visitors Authority. While some tourists continue to come in steady numbers, officials are hoping Canadian travelers return in the colder months, when they typically visit Vegas to escape low temperatures. Tourism leaders are calling for action and asking Congress to restore full funding to Brand USA, the marketing firm responsible for promoting the U.S. abroad. In July, Congress slashed the agency’s funds from $100 million to just $20 million.
