by Donald Wood
Last updated: 7:50 AM ET, Fri November 6, 2026
The United States travel industry is facing another warning
sign as international visitor spending is projected to decline by nearly $11
billion in 2026, according to a new forecast from the U.S. Travel Association.
The inflation-adjusted decline represents a 6.3% drop,
bringing international visitor spending to an estimated $163 billion. The
outlook comes despite Americans taking a record 2.44 billion domestic trips
this year, with overall U.S. travel spending still expected to fall 0.7% to
$1.35 trillion.
Rising costs are adding to the industry’s challenges, as
travel prices are projected to increase 7.2% in 2026, more than twice the
expected overall inflation rate of 3.4%. International arrivals are also not
expected to return to 2019 levels until 2030.
The slowdown could have significant consequences for
destinations that depend on overseas visitors, including New York City, Miami,
Los Angeles, Orlando and San Francisco. Travel supports more than 15 million
American jobs and generates $92 billion in state and local taxes.
The U.S. Travel Association is urging Congress to address
visa processing delays, unnecessary fees, and other barriers that could
discourage international visitors. It also wants lawmakers to reauthorize Brand
USA and restore its full funding in 2027.
The industry is also warning about potential holiday travel
disruptions, calling for protections that ensure TSA officers and air traffic
controllers receive uninterrupted pay during future government funding lapses.
Congress faces a December 11 funding deadline.
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