Global Perspective: December 2024

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Inbound Travel Update: Key Indicators Point to Strong Growth and Opportunities

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The U.S. travel industry continues to show strong momentum, with positive data pointing to the U.S. tourism industry moving from recovery to records. Here’s our take on the latest insights into visitation, spending, and air capacity. 

Key Highlights

  • Spending Surpasses Pre-Pandemic Levels
    • From January to September, travel and tourism exports reached $189.3 billion, a 14% increase year-over-year and 6% above 2019 levels.
    • Monthly spending has remained strong, with a record $21.7 billion in May.
  • Visitation Growth Signals Recovery
    • Total Visitors: As of August, international visitation to the U.S. reached 48 million, a 10% increase over the same period in 2023, reaching 90% of pre-pandemic levels.
      • Canada and Mexico: Canadian visitation is at 98% of pre-pandemic levels, while Mexico is at 92%, showcasing near-complete recovery.
      • Overseas Markets: Through October, there were 29.4 million visitors, a 13% increase year-over-year. Europe, which accounts for 41% of total overseas visitors, shows a 9% increase year-over-year and is now at 90% of pre-pandemic levels. Asia saw a 25% growth compared to the previous year.
  • Top 10 Overseas Markets Drive Visitation
    • From January to October 2024, the United Kingdom is the top overseas market, with 3.4 million visitors, followed by India, Germany, and Japan.
    • India continues to stand out, with nearly 1.9 million visitors this year—up 27% year-over-year and reaching 148% of 2019 levels, leading the way in growth.
    • Outside of the top 10, markets like the Dominican Republic, Poland, and Turkey have not only surpassed pre-pandemic visitation levels but are also setting new records, contributing to a well-rounded recovery.
  • Air Capacity Boosts Accessibility
    • Non-stop flights to the U.S. have increased compared to both 2023 and 2019.
      • Europe: Seat capacity is projected to reach 48 million, bolstered by new routes such as Munich to New York.
      • Asia: Recovering steadily with 17.9 million seats, up from 14.4 million in 2023.
      • Central America: Has shown the most significant year-over-year growth from 9.0 million to 10.2 million seats and surpassing 2019 levels.
  • Positive Forecast for Continued Growth
    • Total international visitation is expected to reach 73 million by the end of 2024, a 10% increase over 2023.
    • Key markets like India (+21%), Mexico (+17%), and China (+47%) are forecasted to drive year-over-year growth, with Latin America projected to outperform 2019 levels in markets such as Colombia and Brazil.
       

With visitor spending on the rise and expanded air connectivity making travel to the USA more accessible, the foundation for growth is solid and the U.S. is well-positioned for record-breaking progress in the years ahead.