The United States is experiencing a troubling downturn in international tourism, raising alarms about the country’s global appeal and its economic impact. In a candid interview on CNBC’s Squawk Box on April 29, U.S. Travel Association CEO Geoff Freeman highlighted a dramatic shift in the travel trade balance: from a $50 billion surplus just a decade ago to a staggering $50 billion deficit today.

Freeman described the $100 billion reversal as a wake-up call, stressing that “the hole we’re digging is a little bit deeper” and urging national leaders to craft a more welcoming message to the world.

International Arrivals in Decline

A graphic presented by the U.S. Travel Association during the interview revealed concerning year-over-year declines for March:
    •    Canadian land border trips: down 26%
    •    Canada-U.S. flights: down 14%
    •    Western Europe travel: down 17% (the first drop since 2021)
    •    South American visitors: down 10%

While Freeman did not delve into potential causes, recent geopolitical tensions could be contributing to the slump. Factors such as tariffs on Mexico and Canada, past remarks by former President Trump about Canada, calls by former Canadian Prime Minister Justin Trudeau for citizens to spend vacation dollars elsewhere, and increased detainment of European travelers at borders may all be playing a role in discouraging travel to the U.S.

International Tourists: Big Spenders

Freeman stressed the economic weight international visitors carry. In New York City, they make up just 20% of all tourists but contribute over half of all tourism spending. Nationwide, international travelers inject approximately $200 billion into the U.S. economy annually more than the total value of the country’s agricultural exports.

“When these travelers come, they do nothing more than come, spend their money, and go home and tell their friends and family to do the same,” Freeman noted.

A Need for a National Travel Strategy

Adding to the concern is a recent 2% drop in TSA screenings and a noticeable shortening in booking windows, suggesting hesitancy among both domestic and international travelers. Freeman is urging policymakers to launch a strategic campaign to rebuild the U.S.’s global travel reputation ahead of key global events such as the 2026 World Cup, America’s 250th anniversary in 2026, and the 2028 Olympics in Los Angeles.

“The desire to travel is there,” Freeman concluded. “How do we unlock that opportunity?”