Published on February 20, 2026
By: Rana Pratap
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Major US cities had unprecedented slumps in tourism in 2025, with historic declines in foreign visitor numbers most severely affecting Las Vegas, Miami, Orlando, New York City, Chicago, and Los Angeles. Cities whose economies have historically depended heavily on tourism have suffered greatly as a result of this slump. These cities are suffering from large economic losses as a result of shifting travel patterns throughout the world and outside influences including changing immigration policies, increasing travel costs, and geopolitical issues. For instance, Las Vegas, which is well-known for its casinos and entertainment, witnessed a 9.2% loss in visitors. Miami and Orlando also suffered sharp drops, which made it difficult for a number of businesses, including hotels, restaurants, and retail stores, to survive.
The U.S. might lose up to 15 billion dollars in foreign tourist spending alone in 2025, according to predictions. The economic losses resulting from these drops are astounding. Cities that formerly prospered from wealthy foreign visitors now have to adjust to shifting travel habits. These tourist destinations are at a turning point due to unprecedented drops in income and a sharp reduction in tourists. This article provides you with all the information you need to understand the extraordinary tourist downturns that the United States is experiencing in 2025. It also sheds light on the causes of the dips and the effects they will have on the country’s economy.
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In 2025, U.S. tourism is projected to see a loss of 12.5 to 15 billion dollars in international visitor spending, with a total decline of 25 to 29 billion dollars compared to pre-2025 expectations. International visitor spending is expected to fall from around 181-184 billion dollars in 2024 to 169 billion dollars in 2025, marking an 8.2% drop in revenue. This decline reflects broader issues, such as rising travel costs, changing global travel habits, and shifts in U.S. immigration and visa policies. The loss primarily affects major tourism hubs, with cities like New York, Las Vegas, and Los Angeles seeing significant reductions in international visitors, impacting local economies reliant on tourism.
The ripple effects of this downturn are particularly pronounced in tourism-dependent states like Florida, Nevada, and California, where cities like Miami, Orlando, and Las Vegas face hundreds of millions of dollars in lost revenue. The decline in visitors from key international markets, including Canada and Europe, has caused a notable reduction in spending on hotels, restaurants, and local attractions. This national drop in tourism is a significant blow to U.S. cities, where tourism often drives economic growth, and will require strategic adjustments, such as revised marketing efforts and improved visa policies, to reverse the trend and restore international appeal.
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Las Vegas, the dazzling heart of Nevada, has long relied on the influx of international tourists to fuel its bustling casino floors and vibrant entertainment scene. In 2025, however, the city experienced a 9.2% drop in visitors, resulting in the loss of approximately 3.1 million visitors. The decline in international tourism reverberated across all sectors, from hotels to restaurants to entertainment. One of the major contributors to the downturn was the 23% drop in Canadian visitors, which alone cost the city about 4 billion dollars in economic activity. The impact was clear—hotel revenues took a hit, with room rates falling by 5% and revenue per room dropping by almost 9%.
The financial toll on Las Vegas was significant, with hundreds of millions of dollars in lost revenue, showing how reliant the city is on a steady stream of international tourists. Even though gaming profits remained strong, the overall decline in tourism hurt the city’s broader economy. This drop was part of a broader national trend, with the US tourism sector losing up to 15 billion dollars in 2025, of which Las Vegas felt a substantial portion. As tourism shifts and global travel patterns change, Las Vegas faces a crucial challenge in attracting international tourists back to the Strip.
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Miami, known for its tropical climate and diverse cultural experiences, faced a notable 4.5% decline in international arrivals in 2025. As a city that thrives on tourism, Miami’s economy felt the sting of the reduced international visitor spend, particularly from its Canadian visitors, who saw their spending fall by almost 13%. With Canada accounting for around 10% of international spending in Miami, this decrease had a direct and significant effect on local businesses, from restaurants to retail stores.
In addition, the overall decline in international visitor spending in Florida mirrored national trends, with the U.S. projected to lose around 12.5 to 15 billion dollars in tourism revenue for 2025. For Miami, this translated into tens of millions in lost tourism receipts. The city’s luxury hotels, attractions, and dining venues all reported declines in bookings and revenue. However, Miami’s allure remains strong, and with adjustments to marketing and customer engagement, it could see a recovery in the coming years. Still, for now, the city’s tourism-based economy is feeling the pinch.
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Orlando, home to iconic theme parks like Walt Disney World and Universal Studios, also witnessed a decline in international arrivals in 2025, with a 3.8% drop in visitors. Known for its family-friendly experiences, the city’s reliance on international tourists has been a double-edged sword. As travel costs soared and the prices of visiting major theme parks increased, many international visitors found themselves opting for more affordable destinations.
The economic losses for Orlando were substantial, particularly for its hotels, restaurants, and retail outlets. The projected loss of 25 billion dollars in national tourism spending for 2025 hit the city hard, with hundreds of millions of dollars in lost revenue. Despite Orlando’s continued appeal as a top family destination, the city must grapple with changing global travel trends and adapt its offerings to better meet the needs of today’s budget-conscious travelers.
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New York City, often regarded as the cultural and economic capital of the world, faced a 3.8% drop in international arrivals in 2025. Despite its global reputation and the lure of iconic landmarks like Times Square and Central Park, New York felt the effects of rising travel expenses and the ongoing effects of the pandemic on global travel. Visitors from overseas are now more cautious, and the city’s tourism-based economy was impacted as fewer international tourists visited to enjoy Broadway shows, museums, and world-class shopping.
The financial consequences for New York City were severe, with a projected billion-dollar loss in tourism revenue. This drop is part of a broader national decline, with U.S. tourism expected to lose 12.5 to 15 billion dollars in 2025. As a result, New York’s hospitality sector, including hotels, theaters, and retail, saw a noticeable dip in business. The city will need to rethink its strategies to maintain its appeal, ensuring it remains a top choice for international travelers. While domestic tourism has helped cushion the blow, New York must find ways to recover lost ground in the international market.
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Chicago faced a flattening of international visitor growth in 2025, signaling a downturn in the city’s traditionally strong tourism sector. Known for its architecture, museums, and vibrant cultural scene, Chicago is a key destination for international tourists. However, global travel shifts and rising costs made it harder for the city to maintain its visitor numbers. The overall decline in international tourism in the U.S. also affected Chicago, contributing to a loss of hundreds of millions of dollars in revenue.
Hotels, retail, and convention business were particularly hard hit, with margins shrinking as fewer international tourists spent money. While Chicago’s domestic tourism has remained relatively strong, its international market is crucial for its tourism-dependent sectors. The broader national decline, with U.S. international tourism revenue falling by up to 15 billion dollars in 2025, means that Chicago’s economy must adapt quickly to reverse these trends.
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Los Angeles, despite remaining a top global destination, saw a moderate decline in international visitors in 2025. Known for its iconic Hollywood scene and luxury experiences, the city’s tourism faced competition from other U.S. destinations and global travel changes. While not as drastic as other cities, Los Angeles experienced hundreds of millions of dollars in lost tourism revenue, particularly in entertainment, dining, and retail sectors.
The decline in international tourism is part of a broader national downturn, with U.S. cities like Los Angeles losing a substantial share of the 12.5 to 15 billion dollars in international visitor spending. To recover, Los Angeles must innovate its tourism offerings and find new ways to appeal to international markets that have grown more selective about where they spend their travel budgets.
In 2025, Las Vegas, Miami, Orlando, NYC, Chicago, LA, and other U.S. cities face unprecedented tourism slumps, with historic declines and economic losses due to rising costs, changing habits, and strict policies. Las Vegas saw a 9.2% drop, losing 3.1M visitors and $4B.
In conclusion, major U.S. cities like Las Vegas, Miami, Orlando, New York City, Chicago, Los Angeles, and others experienced unheard-of tourism downturns and financial losses in 2025 due to a confluence of growing travel expenses, shifting international travel patterns, and tighter immigration regulations. These reasons have caused these cities’ once-thriving tourism industries to falter, resulting in a considerable loss of income. These locations will need to swiftly adjust as the tourist industry continues to change in order to reclaim its attraction on a global scale and revive their economy.
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Tags: Las Vegas tourism drop, Miami tourism slump, U.S. tourism decline 2025

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