The Economic Impact of International Travel to the U.S.
While international tourists have returned to the U.S. since COVID, their economic impact is well below pre-pandemic levels
Source: Luxury Link analysis of Bureau of Economic Analysis and National Travel and Tourism Office data
At first glance, the U.S. tourism economy appears to have largely recovered from the pandemic. Total travel and tourism-related exports reached $20.9 billion in May 2026, surpassing the $20.3 billion recorded in May 2019 before COVID-19 disrupted global travel. Measured in current dollars, foreign visitor spending has returned to roughly its pre-pandemic level.
After adjusting for inflation, however, the recovery looks far less complete. Measured in 2026 dollars, the $20.3 billion in travel and tourism-related exports generated in May 2019 would be worth $26.6 billion today. By comparison, travel exports generated in May 2026 remain 21% below that inflation-adjusted pre-pandemic level. In other words, while today's tourism economy has returned to roughly the same nominal dollar value as it had before the pandemic, the purchasing power of those exports—and their overall economic impact—remains substantially lower than it was in 2019. The comparison illustrates how inflation can make the industry's recovery appear stronger in current dollars than it has been in real economic terms.
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