Decline in International Tourism Hits New York City Hard

NYC’s still-bustling streets are quieting as the city experiences an unprecedented loss of international visitors. It’s not hard to see why local businesses and tour operators are on the front lines of this pernicious trend. Renée Rewiski walking tours in lower Manhattan. This year, she has felt the pinch even more, her group sizes dropping…

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Decline in International Tourism Hits New York City Hard

NYC’s still-bustling streets are quieting as the city experiences an unprecedented loss of international visitors. It’s not hard to see why local businesses and tour operators are on the front lines of this pernicious trend. Renée Rewiski walking tours in lower Manhattan. This year, she has felt the pinch even more, her group sizes dropping to just five tourists this year on average from twenty last year. This larger trend is underscored by this smaller, yet impactful change. The World Travel and Tourism Council even forecast that international travelers will reduce their spending in the United States by $12.5 billion this year.

New York City officials have recently lowered their projections, expecting a 17% decrease in international travelers by 2025. The city’s tourism sector, which relies heavily on foreign visitors, has been strained by President Trump’s hard-line immigration policies. These policies have deterred many potential travelers, leading to significant cancellations and concerns among those contemplating a trip to the U.S.

The Current Landscape of Tourism

In fact, Rewiski has not seen numbers this low since the peak of the Covid-19 pandemic. This unthinkable predicament speaks to the dire straits of New York City’s tourism sector. Home to a large tourism economy, it is one of the top ports of entry for international travelers to the United States. International travelers, while only 20% of total visitors, represent a staggering 50% of all visitor spending.

Julie Coker, NYC Tourism + Conventions president and CEO made the big reveal. The city expects to welcome 2 million fewer international visitors this year than in 2024. She noted the need to confidently communicate to future would-be visitors that NYC is still open for business in the face of today’s crisis.

“What we say to them is… New York City is open for business,” – Julie Coker

Uncertainty continues to be the biggest concern for local businesses. This continues even with attempts to increase international tourism, like the “With Love + Liberty, New York City” campaign. Matt Levy, an Alaska tour operator, has experienced a dramatic drop in his business. This drop off is mainly due to his three largest Canadian clients canceling trips due to fears about what Trump will do.

Impacts on Local Businesses

The loss of international visitors is being painfully felt among the local businesses. Tour operators and hospitality workers are feeling the pinch as foreign tourists increasingly refuse to make advance travel plans to the U.S. Levy remarked on his challenges:

“Next year is going to be hard. Next year is going to be vicious,” – Matt Levy

He pointed out that Canada’s school boards are already asking families to cancel trips to the U.S. This move persuades families to invest their money here in Canada. This sentiment rings true across the travel space as many travel agents have experienced this response from their clients.

Bill Martin, the other tour operator, added that his experience can get people interested. He noted that people are scared to travel to the U.S. This reluctance is particularly acute among Canadians, fueled by the crossfire of Trump’s rhetoric and actions.

“There is doubt as to whether people will get in (to the country),” – Bill Martin

He admitted that concerns over customs and border protection are contributing to a “global nightmare” occurring when attempting to visit America.

Personal Reflections from Travelers

People from outside the country have expressed their concerns too. The worst part was when Javier Muenala of Ecuador shared his anxiety about possible visa revocations and how that might affect his upcoming travel plans. One Italian student studying in the U.S., Eman Moretti, raised fears about the upcoming visit by his family to New York. He’s scared—mainly of the unpredictable impact of Trump’s immigration crackdown.

“With Trump it was a bit harder even for them to come,” – Eman Moretti

Moretti followed that up by talking about the discouragement that would-be visitors encounter at customs, calling it a “hostile environment.” These sentiments contribute to a growing perception that New York City may not be as welcoming as it once was.

Rewiski put the human cost of these policies into stark focus. What’s consistent is that rarely do decision-makers pay a price for bad decisions, he noted.

“I’m not sure what we can do. I’m not sure how to change the attitudes, but just know people are losing their jobs in New York City (and) you’re hurting the wrong people,” – Renée Rewiski

Creating economic opportunity equitably in New York City’s highly polarized economy is no simple task. Decreased tourist flows and increased overall travel fear is at the crux of this problem. Local businesses that rely heavily on international visitors are left fighting an uphill battle to get back on track.

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