Tourism Just Collapsed: Japan Pulls Out, These 10 U.S. States Are in Crisis (2025)

Tourism Just Collapsed: Japan Pulls Out, These 10 U.S. States Are in Crisis (2025)

japan just hit the exit button on US vacations and 10 states just saw their tourism dreams go up in smoke that’s right while Japanese travelers are packing their bags and jet setting across the globe like never before they’re skipping one very specific destination the United States here’s the plot twist japanese outbound travel jumped by 8% in April 2025 but trips to the US dropped by nearly 6% ouch and a 10 US states from Hawaii to New York are now in full-blown crisis mode hotels are empty tour buses are parked and gift shops are occurring louder than your last awkward Tinder date this isn’t just a dip it’s a cliff dive and it could reshape America’s entire tourism industry but before we dive in if you’re new here hit the subscribe button and leave a comment i subscribe and I’ll personally welcome you into the family with that said let’s get started number one Japan’s outbound snapshot they’re flying but not to us okay buckle up because Japanese travelers are definitely taking off outbound tourism from Japan jumped 8% year-over-year in April 2025 that’s right suitcases are packed passports are stamped and Japan’s travel engines are roaring back to life but here’s the kicker they’re not coming to America in fact travel to the US from Japan declined by 6.2% 2% during the same period so while Japanese tourists are out in the world eating palato in Rome and diving in Bali they’re skipping burgers in Brooklyn and skipping Broadway altogether and the bigger picture even with the 8% growth Japanese outbound travel is still down a whopping 42% compared to prepandemic 2019 levels that means there’s still a huge travel gap that hasn’t been closed and the US just isn’t making the cut but we’re not alone canada’s feeling the chill europe’s not fairing much better and Japan itself is sending up red flags major travel agencies and government bulletins still warning about unrest high costs and you guessed it visa chaos in Western destinations meanwhile Japan’s own tourism players like JTB Corporation are quietly shifting their focus eastward so yes Japanese travelers are back but not for Uncle Sam number two why are the Japanese bailing on the US let’s break it down there isn’t just one reason why Japanese tourists are ghosting America oh no this is a perfect storm of politics prices and paramoair first let’s talk money the strong US dollar is stomping on the yen like it owes it rent for Japanese tourists that means everything in the States now costs like triple the price of a Tokyo Raymond bowl add inflation and even basic stuff like hotel rooms and car rentals are punching holes in wallets second visa delays and bureaucracy are driving people nuts long wait times confusing forms and tighter border scrutiny have made planning a trip to the US feel like applying to Harvard on hard mode third and most seriously safety concerns multiple countries including Japan Canada and the UK have issued travel advisories to their citizens about visiting the US due to rising crime mass shootings and political unrest that’s not exactly Disney World Energy so where are the Japanese going instead they’re heading to Asia-Pacific hotspots that are friendlier cheaper and feel safer think Indonesia South Korea Thailand Australia and the crowd favorite New Zealand these places are rolling out the red carpet and Japan’s elite travelers are loving it bottom line the US isn’t just losing foot traffic it’s losing its tourism charm number three the 10 US states in the red zone who’s hurting the most let’s now zoom in on the domestic damage because some US states are getting absolutely crushed by this tourism collapse japan isn’t just some nice to have market it’s one of the biggest spenders per traveler and some states built entire industries around those visits here’s the hit list hawaii this one’s brutal japanese tourists once made up nearly 18% of Hawaii’s total arrivals their absence has left resorts ghostly restaurants half empty and cultural tours without an audience honolulu’s Wiki District it’s starting to feel like a mall food court on a Monday california from Los Angeles to San Francisco the Golden State leaned hard on high-spending Japanese tourists with fewer visitors flooding Hollywood Boulevard or snapping pics of the Golden Gate Bridge cities are reporting millions in lost revenue new York japanese travelers love luxury shopping Broadway and worldclass museums exactly what New York excels at but now Fifth Avenue’s boutiques are hurting and even Times Square is starting to feel less international florida Orlando and Miami had a slice of the Japanese market especially in theme parks and cruise ports but now Mickey Mouse might need a side hustle nevada Vegas casinos and shows were top attractions for Asian travelers with fewer Japanese gamblers and sightseers the neon lights don’t shine quite as bright texas yes Texas cities like Dallas and Houston have growing international business and tourism ties with Japan but convention centers and international expos are seeing reduced Japanese turnout washington Seattle with direct flights from Tokyo and sister city links is feeling a pinch especially in the tech and business travel segment illinois chicago’s tourism scene isn’t immune either museums shopping and architecture tours are down in Japanese bookings massachusetts Boston’s historical charm used to be a big hit now Paul Ravier’s ride might need a marketing team colorado ski resorts that once relied on Japanese winter travelers are seeing more powder and fewer passports and the economic cost inbound tourism spending in the US is projected to drop 7% in 2025 translating to a 12.5 billion loss that’s not a dip that’s a crater from coastal paradises to cosmopolitan hubs the tourism pain is spreading fast and Japan’s vanishing footprint is a massive part of the problem number four state-by-state snapshot where the crisis hits hardest all right it’s time to zoom in we’ve been talking big picture but now we’re getting personal these 10 US states aren’t just feeling the impact of Japan’s tourism pull out they’re bleeding revenue jobs and visitor confidence let’s go state by state and break down the pain number one Hawaii dependence over 18% of international tourists used to come from Japan economic spill hotel occupancy rates in Wiki are down nearly 22% and tour groups have plummeted local flavor restaurants on Maui went from serving 1,212 Japanese dinner guests per week pre209 to just 459 in 2025 that’s not a slump that’s a starvation diet for the local service industry source: skate.com travelantworld.com number two California dependence around 14% of California’s international arrivals once hailed from Japan especially in Lei and San Francisco economic spill retail therapy is down hard luxury outlets report doubledigit sales drops and Hollywood tours have taken a hit local flavor fisherman’s Wararf used to buzz with Japanese voices now it’s more like a lonely fishing boat on a foggy morning number three New York dependence tilled 12% of NYC’s high-spending tourists came from Japan economic spill broadway Fifth Avenue and the Museum Circuit are all reporting shrinking revenues with an estimated $340 million loss in foreign tourist spend local flavor remember those long lines at Momo now you can walk in like you own the place because the Japanese aren’t there number four Florida dependence around 7 to 8% of Florida’s international visitors came from Japan focused mostly on Orlando and Miami economic spill theme park bookings from Japanese tourists are down 17% and cruise lines say onboard retail spend has created local flavor japanese travel agencies that used to book Disney packages are now redirecting families to Isaka’s Universal Studios instead number five Nevada dependence las Vegas drew 10 to 11% of its international visitors from East Asia including Japan economic spill casinos are losing VIP clients shows are half full and luxury sweet bookings are down 25% in some resorts local flavor what happens in Vegas apparently isn’t happening for Japanese tourists anymore number six Texas dependence while smaller in tourism share till 5 to 6% texas saw heavy traffic for business tourism and conferences from Japan economic spill convention centers in Houston and Dallas report Japanese delegation attendance down 33% local flavor sushi chains in uptown Dallas are feeling the heat with revenue slashed and suppliers cutting back number seven Washington state dependence seattle was a West Coast bridge for Japanese travelers roughly 8 to 9% of its international tourist traffic economic spill pike Place Market merchants say Japanese foot traffic is down nearly 40% and hotel revenue is shrinking local flavor tech tourism yes it’s a thing to Microsoft and Amazon HQs barely hanging on number eight Illinois dependence chicago used to pull in a solid 7% of Japanese tourists traveling for architecture shopping and business economic spill guided architecture tours report 40% fewer Japanese guests compared to 2019 local flavor the Magnificent Mile is still magnificent but the spending isn’t number nine Massachusetts dependence boston drew history buffs from Japan roughly 5 to 6% of its global visitors economic spill freedom Trail walking tours are being cancelled and Japanese language museum guides have been cut local flavor no sushi before the revolution was the joke now it’s no sushi after the recession number 10 colorado dependence during winter Japanese tourists made up 12% of foreign visitors to major ski resorts economic spill bookings from Japan are down over 30% and ski shops report slashed equipment rentals local flavor powder is still falling but Japanese yen isn’t number five big picture why this matters now here’s where we pull the lens back and ask the real question so what well let’s talk about March 2025 according to Travel and Tour World US tourism numbers dropped 11.6% that’s nearly 12% fewer visitors spending less staying shorter and skipping cities altogether and here’s the gut punch experts say the US tourism economy won’t fully recover to 2019 levels until 2029 that’s a whole half decade from now that’s another entire Marvel phase this isn’t about post-pandemic fatigue anymore that ship sailed this is geopolitical this is reputational global travelers especially from Japan are making judgment calls is it safe is it friendly is it worth it and more and more they’re saying “Nope not the US.” It’s not that they don’t want to travel it’s that they’re voting with their passports and Uncle Sam’s not winning the ballot number six solutions and opportunities can we fix this all right enough doom and gloom let’s talk solutions because this ship doesn’t have to sink us fixes revamp visa policies make it faster easier and less like applying for a bank loan safety messaging market the US as safe welcoming and exciting again special promo packages give Japanese tourists a reason to return discounts loyalty deals language friendly support state level strategies diversify the market don’t just chase Japan target Latin America Europe and domestic travelers who are ready to explore lean into local charm sell the small towns national parks quirky events make the US feel like a global adventure again what Japan is doing right japan’s travel agencies are innovating with Abased crowd control regional tourism promotion and high-tech visitor experiences they’re using predictive analytics to manage foot traffic pushing travel outside Tokyo and integrating smart tech in hotels transit and tours maybe the US should take a few notes because while we’re stuck in line at immigration Japan is literally building robots that guide tourists to Raymond shops so here’s the bottom line japan’s decision to pull back from US travel isn’t just a blip on the radar it’s a wake-up call it’s exposing the cracks in America’s tourism infrastructure its global image and its ability to adapt from Hawaii’s empty hotel rooms to New York’s quiet museums the ripple effects are real and growing but this doesn’t have to be the end of the story with smarter strategies better policies and a willingness to evolve the US can bounce back stronger the question is will we make the right moves before it’s too late with that said thanks for watching hit that like button subscribe and share your thoughts in the comments and until next

In a shocking twist for 2025, Japan has pulled out of key international tourism partnerships—triggering a domino effect across the United States. In this video, we break down how 10 U.S. states are now facing a full-blown tourism crisis, from empty airports and deserted attractions to massive job losses and economic slowdowns.

We’ll reveal:

The 10 most impacted states and why they’re in crisis

How Japan’s withdrawal is affecting U.S. travel and local economies

Real data, expert commentary, and jaw-dropping visuals

What this means for your next vacation—or your job

The urgent steps some states are taking to survive

If you think this only affects travel—think again. Tourism is the lifeblood of many American towns, and what’s happening now could reshape the future of travel in the U.S.

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What are your thoughts on this collapse? Do you live in one of the affected states? Drop your opinion in the comments — let’s talk about it.
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