Trump policies weigh on US inbound tourism

Immigration stance and geopolitical tensions reshape travel demand and industry outlook

Feb 6, 2026

International travel to the United States declined in 2025 despite global tourism growth, reflecting the impact of stricter immigration policies, geopolitical tensions and changing perceptions of openness. Data shows a 4.2% drop in foreign visitors while worldwide international travel increased by 4%. The decline has affected airlines, hotels and attractions, with industry leaders warning about lost revenue and competitiveness. Major upcoming events such as the 2026 FIFA World Cup may help recovery, but uncertainties remain.

Key takeaways

  • International visitor decline: Foreign arrivals to the US fell 4.2% in 2025, marking the first annual drop since the pandemic despite global travel growth.
  • Policy impact on travel demand: Stricter immigration enforcement, visa restrictions, border scrutiny and tariffs are cited as key deterrents for international visitors.
  • Economic consequences: Reduced inbound travel is estimated to have cost roughly $50 billion in spending and millions of potential visitors.
  • Regional travel shifts: Canada, Europe and the Middle East showed notable declines, indicating broad geographic impact rather than isolated market weakness.
  • Hospitality sector effects: US hotels, airlines and tourism attractions reported softer demand and pressure on key performance metrics such as RevPAR.
  • World Cup recovery potential: The 2026 FIFA World Cup may stimulate inbound travel, though industry experts expect overall demand growth to remain modest.

Source: Financial Times

Read also: Domestic travel strengthens U.S. hotel demand in 2025

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