Global tourism into the United States this year appears to be moderating compared to last year as international tourists choose to spend their income elsewhere amid rising trade and political tensions.
In the first five months of this year, the number of international visitors dropped by 12% in March and 3% in May, with travelers from Western Europe dropping by 17% in March and by 4% in May, according to government data.
Get Joe Brusuelas’s Market Minute in your inbox every morning. Subscribe now.
The drop in tourists from Western Europe comes at a time when the dollar has been losing value to the euro. That should make the U.S. that much more attractive as a destination. But that is not the case.
Most notable, however, were the consistently decreasing numbers of visitors from Canada, which is almost certainly in response to the now frosty relations between the two governments.
The number of Canadian travelers dropped by 8% in January, 12% in February and 16% in March. Data for April and May are not yet available.
