The American tourism industry in 2025 is undergoing significant changes. While outbound travel from the U.S. continues to climb, inbound international travel is seeing notable declines.
The international market remains crucial to the U.S. tourism industry, and developing effective strategies to recover and grow within this segment is essential for maintaining global competitiveness and economic vitality. Driven by shifting political sentiments, evolving consumer behavior, and financial uncertainties, the travel trends reflect both recovery and disruption.
In this blog, we examine the latest trends, data, and insights that are shaping the American travel and tourism industry. From shifts in international arrivals to evolving domestic travel patterns, we explore how economic factors, consumer behavior, and global events are influencing the sector.
Overview of the U.S. Tourism
The United States is one of the world’s most popular and diverse travel destinations, attracting millions of international visitors and sustaining a thriving domestic travel market. As a global leader in the tourism industry, America’s vast landscapes, iconic cities, and cultural attractions make it a top choice for both leisure and business travelers.
In 2025, the travel and tourism industry is expected to continue playing a pivotal role in the U.S. economy, generating significant export revenue, supporting millions of jobs, and driving consumer spending across various sectors, including hotels, air travel, and entertainment.
With a robust network of airports, highways, and hospitality services, the U.S. welcomes global travelers from every continent, while also seeing strong outbound travel as American travelers explore other countries. The tourism industry’s resilience is evident in its ability to adapt to changing international perceptions, economic shifts, and evolving traveler preferences.
As the Department of Commerce and other organizations track tourism statistics, the data reveals not only the economic impact but also the social and cultural importance of travel in America. Whether it’s overnight land trips, city breaks, or cross-country adventures, tourism remains a vital force shaping the nation’s future.
Top U.S. Tourism Statistics in 2025
- 92% of Americans plan to travel in 2025.
- 56% of Americans intend to travel more than they did in 2024.
- U.S. travel spending is projected to grow 3.9% to $1.35 trillion.
- The outbound tourism market is expected to reach $224 billion.
- Consumer spending on air travel and hotels dropped 10% and 6%, respectively, in February 2025.
- Domestic air travel and visitor numbers in the first half of 2025 showed a slight increase compared to the same period last year.
- International arrivals dropped 3.3% compared to the same period last year (Q1 2025 vs Q1 2024).
- Tourism Economics predicts a 9.4% decline in international arrivals.
- European inbound travel fell 17% in March 2025, reflecting a significant decline in international visits from Europe.
- Air visitors from Mexico dropped 23% in March 2025.
- Canada sees a 40% decline in U.S.-bound leisure bookings (March 2025).
- A recent report from the U.S. Travel Association provides a detailed analysis of travel and tourism statistics for 2025.
U.S. Inbound & Outbound Tourism Overview
Outbound Travel and Tourism Industry
- In 2024, 98.46 million Americans took international trips.
- Mexico, Canada, the United Kingdom, France, Italy, Germany, and Spain remain the top destinations.
- In 2025, Americans are projected to spend $215.4 billion abroad.
- The average spend per trip is estimated at $5,138.
Inbound Travel and Tourism Industry
- Between January and March 2025, 7.1 million international visitors entered the United States.
- Canada (20.24M) and Mexico (17M) remained the top inbound sources in 2024.
- The UK sent 330,937 visitors, and Germany sent 193,337 in 2024.
- U.S. international image challenges have contributed to declining numbers.
Domestic Travel Trends
- In 2024, top domestic destinations included California, Florida, New York, Las Vegas, and Hawaii.
- Vacation travel remains highly popular among Americans, with many planning leisure trips to these destinations and increasing their spending on vacation experiences each year.
- 16.8 million domestic flights were taken.
- Domestic tourism is expected to grow by 3% annually, comprising 70% of travel spending by 2030.
- Baby Boomers (73%) mostly travel domestically.
- Gen Z (46%) lean more toward international travel.
U.S. Travel & Tourism Spending Statistics
- Americans spent $1.3 trillion on domestic travel in 2024.
- Inbound tourists spent $210 billion in the U.S. in 2024.
- Luxury travelers spend around $16,000 per trip.
- Millennials average $3,927 per trip.
- Antarctica is ranked as the most expensive international destination, with an average spend of $17,599.
- Aspen, CO: Most expensive U.S. destination at $779.92/day.
- Charleston, WV: Most affordable at $193.99/day.
U.S. Travel Industry Size & Employment
- U.S. travel industry value in 2025: $1.35 trillion.
- The hotel sector is projected to reach $114.74 billion.
- Total sector contribution to GDP in 2024: $2.51 trillion (approx. 9%).
- Jobs supported: Over 15 million.
- Hotel industry employment in 2025: 2.17 million.
Tourism Satellite Account: Measuring Tourism’s Economic Impact
To truly understand the economic cost and benefit of travel and tourism, experts rely on the Tourism Satellite Account (TSA)—a specialized framework developed to measure the full impact of the tourism industry on the U.S. economy.
The TSA provides a comprehensive analysis of tourism’s contribution to GDP, employment, and export revenue by capturing data on consumer spending, business services, and the flow of international and domestic travelers.
Unlike traditional economic reports, the TSA integrates data from multiple sources, including the Department of Commerce, border protection agencies, and industry organizations, to offer a detailed picture of how tourism drives economic output.
This includes not just direct spending on hotels, flights, and attractions, but also the ripple effects across supply chains, from food services to transportation and retail. The TSA is essential for policymakers, businesses, and media analysts interested in understanding the true scale of the travel and tourism industry, informing decisions on investment, marketing, and infrastructure.
Recent TSA data highlights the sector’s role as a major employer and export generator, with tourism services ranking among America’s top exports. As global travelers return and domestic travel rebounds, the TSA remains a critical tool for tracking recovery, identifying trends, and measuring the ongoing value of tourism to the U.S. economy.
U.S. Travel Statistics by Demographic
Millennials:
- Travel 35 days per year, the highest among generations.
- 76% plan solo travel.
- 84% will spend the same or more in 2025.
- 70% value the journey as much as the destination.
Gen Z:
- 58% of travelers visit to find high-quality, local goods.
- 60% prefer eco-friendly transportation.
- 56% want green accommodations.
- Higher interest in music festivals and outdoor experiences.
Baby Boomers:
- 99% plan leisure trips.
- 29% travel to relax; 23% for family time.
Reasons Americans Travel in 2025
- Revenge Travel: Making up for pandemic-lost time.
- Bucket List Trips: Especially for travelers aged 50+.
- Unique cultural experiences are top motivations.
- Green travel and sustainable tourism are rising in importance.
- Workcation trends are strong among Millennials (60% mix work & travel).
- Leisure dominates with 73.8% of all trips.
Future Outlook: What’s Next for U.S. Tourism?
Looking ahead, the future of the U.S. tourism industry is shaped by both challenges and opportunities. While international arrivals have faced headwinds from shifting global perceptions, economic uncertainties, and policy changes, the long-term outlook remains optimistic. Industry experts predict a gradual return to pre-pandemic levels, with full recovery expected as international travel restrictions ease and global confidence rebounds.
Key trends set to influence the next phase include the rise of sustainable tourism, increased demand for unique and authentic experiences, and the growing influence of technology in trip planning and border protection. American destinations are investing in infrastructure and marketing to attract both international visitors and domestic travellers, while also adapting to changing consumer expectations around health, safety, and environmental responsibility.
Emerging markets in South America and Asia present new opportunities for inbound travel, while outbound travel by American tourists continues to expand into other countries. The travel association community is closely monitoring the impact of global events, currency fluctuations, and trade policies—including the lingering effects of Trump’s tariffs—on tourism flows and prices.
As the industry navigates these shifts, data-driven analysis and collaboration between government, business, and organizations will be crucial. The U.S. tourism sector’s ability to innovate and respond to evolving traveler needs will determine its success in the years ahead, ensuring that America remains a top destination for global travelers and a powerhouse in the world tourism market.
Final Thoughts
Despite a dip in inbound tourism, domestic and outbound U.S. travel remains resilient. Generational shifts, sustainability concerns, and post-pandemic motivations are reshaping the landscape. With Americans eager to explore more and spend more in 2025, travel businesses must adapt their offerings to meet the changing preferences of Millennials and Gen Z.
Sources: U.S. Travel Association, Statista, TravelPerk, WTTC, Skift, International Trade Administration, Travel Pulse, Deloitte, Forbes, American Express, Squaremouth, MMGY, CNBC.
Frequently Asked Questions (FAQ)
What are the current trends in U.S. tourism travel statistics for 2025?
In 2025, U.S. tourism is marked by a decline in international arrivals, with a 3.3% drop in the first quarter compared to the same period last year, while domestic travel remains stable but shows signs of cooling. Outbound travel from the U.S. continues to rise, with Americans projected to spend $215.4 billion abroad.
How is international visitor spending impacting the U.S. economy?
International visitor spending is a significant contributor to the U.S. economy, generating billions in export revenue and supporting millions of jobs. However, recent declines in international arrivals have led to a reduction in spending, posing economic challenges for the travel and tourism industry.
What role does the Tourism Satellite Account (TSA) play in measuring tourism’s impact?
The TSA provides a comprehensive framework for assessing the economic impact of tourism by capturing data on consumer spending, employment, and export revenue. It integrates information from various sources to offer a detailed picture of tourism’s contribution to the U.S. economy.
Which demographics are driving travel trends in the U.S.?
Millennials lead in travel frequency, averaging 35 days per year, and show a strong interest in solo travel and unique experiences. Gen Z travelers prioritize eco-friendly options and cultural immersion, whereas Baby Boomers tend to focus more on leisure and relaxation trips.
How are international perceptions affecting inbound travel to the U.S.?
Shifts in international perceptions, influenced by political factors and travel policies, have contributed to a decline in inbound travel. Concerns about border protection and travel restrictions have caused some travelers to reconsider visiting the U.S.
What are the top destinations for U.S. travelers abroad and domestic tourists?
Popular international destinations for American travelers include Mexico, Canada, the UK, France, Italy, Germany, and Spain. Domestically, top destinations are California, Florida, New York, Las Vegas, and Hawaii.
What is the outlook for the U.S. travel and tourism industry?
Despite current challenges, the outlook remains optimistic with expectations of a gradual recovery in international arrivals. Emphasis on sustainable tourism, technology integration, and infrastructure investment is key to future growth and competitiveness.
How can businesses in the travel industry adapt to these trends?
Travel businesses should focus on catering to evolving traveler preferences, such as sustainability, unique cultural experiences, and digital booking tools. Understanding demographic differences and leveraging data-driven insights will be crucial for success in 2025 and beyond.
