USA Tourism Sector Surges with New York in Lead Along with Miami, Los Angeles and Orlando

The U.S. travel sector is experiencing a remarkable resurgence, with New York City leading the charge. As global temperatures rise and summer vacations take off across North America and Europe, the tourism sector is bouncing back stronger than ever. The COVID-19 pandemic dealt a significant blow to international travel, but by 2024, the sector is on track to fully recover. In 2023, international tourism reached 88% of 2019 levels, contributing over $230 billion in exports and accounting for 22% of all U.S. services exports globally.

New York City remains at the forefront of this recovery, solidifying its status as a top global destination. In 2023, New York welcomed over 9 million overseas travelers, drawn by its world-class shopping, iconic landmarks, and renowned museums. Despite a sharp decline in 2020, when visitor numbers plummeted by 66.5%, the city rebounded impressively with 62.2 million visitors last year, just 6.6% below its 2019 peak.

The economic impact of this tourism surge is profound. In 2023, visitor spending in New York City exceeded $48 billion, with tourism-related tax revenues growing by 16% from FY 2020 to reach $4.9 billion in FY 2024. Although international spending has not fully returned to pre-pandemic levels, the city anticipates a complete recovery by 2025, especially in the international business travel segment.

In addition, The Visa Waiver Program (VWP), managed by the Department of Homeland Security and the State Department, enables citizens from 41 countries to travel to the United States for business or tourism without the need for a visa for stays of up to 90 days. This program facilitates easier and more efficient travel for millions of visitors each year, significantly contributing to the U.S. tourism economy by simplifying the entry process for eligible travelers.

Los Angeles follows closely, welcoming 3.6 million overseas visitors in 2023, marking a 31% increase from the previous year. The allure of Hollywood, coupled with the region's beautiful coastlines and cultural offerings, ensures that Los Angeles remains a top destination for global travelers.

Orlando, renowned for its world-famous theme parks and family-friendly attractions, also saw a surge in international tourism. In 2023, the city attracted 3.5 million overseas visitors, a 20.5% increase from 2022. Orlando's ability to captivate tourists from around the world reinforces its position as a key player in the U.S. travel sector.

Las Vegas-Paradise, Nevada, saw a 25.1% increase in overseas visitors, with 2.08 million international tourists in 2023. The area had 894 visitors per 1,000 residents, making up 6.6% of the total U.S. overseas visitor count.

Washington-Arlington-Alexandria in the DC-VA-MD-WV region experienced a significant 38% rise in overseas visitors, totaling 1.61 million in 2023. This area had 253 visitors per 1,000 residents and contributed 5.1% to the total U.S. overseas visitor numbers.

Chicago-Joliet-Naperville in Illinois welcomed 1.41 million overseas visitors in 2023, representing a 33.2% increase from the previous year. The area had 199 visitors per 1,000 residents and accounted for 4.5% of all U.S. overseas visitors.

Honolulu, Hawaii, experienced an impressive 85.9% increase in overseas visitors, attracting 1.32 million tourists in 2023. Honolulu had 1,328 visitors per 1,000 residents and made up 4.2% of the total U.S. overseas visitor count.

Boston-Quincy, Massachusetts, saw 1.15 million overseas visitors in 2023, a 56.1% increase from the previous year. The region had 569 visitors per 1,000 residents and contributed 3.7% to the total U.S. overseas visitor numbers.

Houston-Sugar Land-Baytown in Texas welcomed 887,000 overseas visitors in 2023, representing a 48.8% increase from 2022. The area had 121 visitors per 1,000 residents and accounted for 2.8% of all U.S. overseas visitors.

Atlanta-Sandy Springs-Marietta in Georgia saw an impressive 111.3% increase in overseas visitors, totaling 765,000 in 2023. The area had 123 visitors per 1,000 residents and made up 2.4% of the total U.S. overseas visitor count.

Fort Lauderdale-Pompano Beach-Deerfield Beach in Florida attracted 749,000 overseas visitors in 2023, an 11% increase from the previous year. This region had 385 visitors per 1,000 residents and accounted for 2.4% of all U.S. overseas visitors.

San Diego-Carlsbad-San Marcos in California welcomed 655,000 overseas visitors in 2023, with a 17.4% increase from 2022. The area had 200 visitors per 1,000 residents and accounted for 2.1% of all U.S. overseas visitors.

Dallas-Plano-Irving in Texas also saw 655,000 overseas visitors in 2023, representing a 44.6% increase from the previous year. The area had 122 visitors per 1,000 residents and made up 2.1% of the total U.S. overseas visitor count.

Direct travel-generated earnings in Colorado rose by 13.3% to $9.9 billion, with the Accommodation & Food Services sector contributing $4.4 billion, up 7.9% from the previous year. State and local tax revenues from tourism also saw a 5.7% increase, reaching $1.8 billion in 2023.

Business travel remains a cornerstone of the U.S. economy, contributing $484.4 billion annually, or 1.9% of the U.S. GDP, based on 2022 data. In 2022, a total of 429.9 million business trips were taken within the U.S., with 67% for transient purposes like sales, client services, and government travel. The remaining 33% represented conference and event travel.

Business travelers are staying longer, with the average trip length increasing to 4.1 days in 2022, up from 3.3 days in 2017. The average amount spent per business trip was $632, with lodging representing the largest spending category at $214. Blended travel, where business and leisure trips are combined, made up over a third of all travel, with travelers staying for an average of 4.4 days.

This growth was accompanied by a rise in sector jobs, which increased by 656,000 to reach 18 million across the country, breaking the previous record of 17.4 million. Domestic visitors spent $1.37 trillion in 2023, up more than 9% from the previous peak in 2019. However, international visitor spending remained more than a quarter below its 2019 peak, at $156.1 billion.

A total of 429.9 million business trips were taken within the U.S. An estimated 67% of trips were taken for transient purposes: sales, client service, government and military travel, and travel for construction or repair. The remaining 33% represents conference and event travel.

Business travelers are traveling longer for each trip: 4.1 days in 2022 (versus 3.3 days as cited in 2017 GBTA research). The amount spent per business trip averaged $632, with 34% spent on lodging ($214), representing the largest single category for spending.

The average age of U.S. business travelers is 44.3 years. One-third (33.9%) have an annual household income below $50,000 and 31.5% above $100,000, with the remaining third falling in between.

The top 15 states ranked by overall business travel destination spending accounted for 65% of total U.S. business travel expenditures (in descending order):

Year-to-date, inbound international visitors in 2024 are up 18%, contributing nearly $126.2 billion to the U.S. economy. This resurgence underscores the importance of international travel as a driving force behind the broader recovery of the U.S. tourism sector.

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