Las Vegas and major US cities see fewer foreign tourists due to Trump’s policies

Source: Witchy Spells

The United States is facing a notable downturn in international tourism, with foreign visitor numbers declining for a second consecutive year as a range of policies and political trends under President Donald Trump’s administration appear to be discouraging travellers.

Experts warn this trend could cost the US billions of dollars in lost revenue for its travel, hospitality and services industries, while competitors worldwide attract growing numbers of international visitors.

Foreign Visitors Decline Despite Global Growth

Data from the World Travel and Tourism Council (WTTC) shows that in 2025 the United States experienced a 6 per cent drop in foreign visitors, even as global tourism spending grew by around 6.7 per cent. This divergence highlights a broader trend: while destinations in Europe and Asia are welcoming more travellers, the US has become less attractive to international tourists.

Tourism experts attribute the drop to multiple factors, including perceptions of restrictive immigration policies, political rhetoric, trade disputes and border enforcement actions that can create a sense that the United States is less welcoming than other destinations.

Economic Cost of Fewer Tourists

The decline in visits is not just a matter of fewer suitcases at airports — it carries significant financial consequences. International visitors traditionally spend billions on hotels, dining, entertainment, transport and retail while in the US. With fewer arrivals, sectors that depend on tourist spending are feeling the impact.

In key tourism hubs like Las Vegas, international attendance has dropped noticeably. The Las Vegas Convention and Visitors Authority reported that the city saw declines in visitor numbers year-on-year, with Canadian tourists in particular staying away in large numbers — a shift linked to political tensions between the US and Canada over tariffs and trade policy.

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Major Destinations Feeling the Pinch

Las Vegas tourism — one of the nation’s most tourism-dependent local economies — has reported a roughly 7.4 per cent drop in overall visits, affecting flights, hotel occupancy and local hospitality jobs. Airlines have also reduced some flight services as demand softened, compounding pressure on the region’s visitor economy.

Similar patterns have been observed in other destinations across the country, where hospitality workers have faced layoffs and businesses reliant on foreign visitors have struggled to replace lost spending.

Trump Policies and Traveller Perceptions

While tourism trends are influenced by economic and global factors, analysts say that policy perceptions matter. Trump’s focus on stricter immigration enforcement, trade tariffs and assertive rhetoric on international issues have in some cases prompted potential visitors to opt for alternative destinations like Spain, France or Japan, where travel conditions and perceptions of safety and welcome are more positive.

For example, research and surveys conducted in 2025 found that a significant share of prospective travellers from markets such as Canada were cancelling or postponing trips to the United States, often citing concerns about immigration policy and border enforcement as key reasons.

Domestic Tourism Offsets Some Losses

Despite the slump in international arrivals, domestic travel within the US has remained relatively strong, cushioning the overall tourism sector. Domestic visitors tend to spend within local economies, helping sustain hotels, national parks and cultural attractions that might otherwise feel a more pronounced impact.

However, industry officials stress that domestic demand alone is not enough to fully replace the economic contribution of lost international tourism, particularly in areas that historically rely on foreign visitors for revenue and jobs.

Broader Implications for US Travel Industry

The sustained decline in international visitors follows several months of reduced travel from overseas markets. In fact, business data indicates tourism fell for eight straight months as of the end of 2025, with notable drops from countries including Germany, India and South Korea.

Tourism contributes significantly to the US economy, supporting millions of jobs and generating tax revenues. A re-emergence of strong international travel would be crucial not only to local hospitality sectors but also to broader economic growth.

Looking Ahead

With international tourism showing signs of decline even as global tourism rebounds elsewhere, the US travel industry faces a critical moment.

Policymakers and tourism authorities may need to consider strategies to restore confidence among foreign visitors — from easing visa and border procedures to enhancing marketing efforts that promote the country as a welcoming destination for global travellers.

Until then, the drop in international tourism stands as a reminder that global travellers’ perceptions — whether shaped by policy, safety or hospitality sentiment — can have profound effects on an industry that has long been central to the American economy.