Oh, how the mighty have fumbled the tourist bag.
Once upon a time, international tourists flocked to the U.S. with a suitcase in one hand and a wad of foreign currency in the other, ready to be parted from both in the name of Disneyland, outlet malls, and a totally normal portion of pancakes. Now, thanks to the delightful fusion of tariffs, tantrums, and “America First” rhetoric that basically screams “Everybody Else Last,” foreign visitors are saying, “Nah, we’re good.” And with that, an eye-watering $90 billion in potential U.S. revenue is getting quietly yeeted into the economic void.
Let’s unpack this, shall we?
Welcome to America: Now With 100% More Tariffs and Side-Eye
Here’s the deal: tourists from places like Canada, Germany, and the U.K.—you know, countries that used to love us despite our weird obsession with ranch dressing—are canceling their trips. Why? Because the United States is starting to look like the international equivalent of that one dinner guest who spends the whole evening insulting the host, drinking all the wine, and leaving with the centerpiece.
Trump’s latest wave of tariffs has turned what used to be friendly trade negotiations into an international episode of Dr. Phil. Everyone's yelling, nobody's listening, and somewhere in the background, the economy is chain-smoking nervously.
Apparently, suggesting that Canada might as well become the “51st state” didn’t go over so well. Who knew? Canadians, polite as they are, have responded in kind—not with angry tweets, but with something far more savage: staying home.
And don’t get it twisted—this isn’t just about a few tourists skipping Disneyland. Customs and Border Protection reports a 12.5% drop in Canadian visitors in February, and 18% in March. That's not a dip. That's a full-blown, make-your-economist-sob-in-a-bathrobe plunge.
Europe to America: “It’s Not Us, It’s Definitely You.”
As if losing the Canadians wasn’t humiliating enough (they usually put up with everything, including pineapple on pizza), Europe is also packing up and peace-ing out. Visitors from the U.K. and Germany? Down 29% in March. That’s not just significant—it’s the kind of drop that would make a rollercoaster enthusiast scream with joy and a tourism board CEO scream into a pillow.
Western European travel as a whole is down 12%. We haven’t seen these kinds of numbers since checks notes the pandemic. And just to clarify, that was during a time when literal border closures were in place. Now? It’s just vibes and tariffs.
But hey, who needs those smug Brits and schnitzel-munching Germans wandering around Times Square when we can have… crickets?
Tariffs: Great for Isolation, Bad for Everything Else
Trump’s genius plan—if you want to call it that—involves slapping tariffs on anything that moves. Cars? Tax ‘em. Auto parts? Tax those too. Steel and aluminum? You bet. Meanwhile, Canada and Mexico get partial exemptions, because confusing trade policies are very on-brand for this administration.
Europe, though? They’re still in the tariff splash zone. Even though the second round of duties got paused (because apparently someone remembered that Europe can retaliate), the damage is done. And not just to diplomatic relations.
According to Goldman Sachs, the combined hit from fewer international visits and boycotts of U.S. goods could cost the economy up to $90 billion this year. That’s “billion” with a “B,” folks. As in “Big mistake.” As in “Better hope Taylor Swift goes on another world tour and funnels the profits straight into the Treasury.”
Miami Is Chill… For Now
In a fascinating twist of regional denial, Miami’s tourism execs say they haven’t noticed a huge downturn yet. And maybe that’s true—Miami does attract a more diverse (read: wealthier) crowd, and the peak season already wrapped up. But even David Whitaker, president of the Greater Miami Convention & Visitors Bureau, admits the impact might just be fashionably late.
“Ask me again in May,” he said. Translation: “I’m smiling through the pain, but please send help.”
Meanwhile, Niagara Falls, which relies heavily on Canadian tourists who pop across the border to see water falling off a cliff, is nervously watching the horizon. Sure, Canadians came for a recent hockey game, but what about next month? What about summer? What happens when Canadians decide they’d rather watch grass grow in Moose Jaw than deal with U.S. border policies?
John Percy of Destination Niagara USA hit the nail on the head: “We don’t realize the snowball effect.” Yeah, John. That snowball’s headed downhill, and it’s picking up velocity.
Hostile Rhetoric Is Not a Tourism Strategy
At this point, we should address the obvious. Tourists don’t like being insulted, harassed, or treated like walking wallets with bad exchange rates. It’s almost as if people don’t want to spend thousands of dollars to fly across an ocean just to get lectured by a TSA agent with a God complex and a laminated pamphlet on “American Values.”
Even if Trump softens his tone (unlikely, but let’s pretend), the stank of hostility lingers. According to Adam Sacks of Tourism Economics, “The damage has been done.” And no amount of hotel mints or free wi-fi is going to undo that.
Rebuilding goodwill takes time. Years, maybe decades. And in the meantime, other countries are more than happy to snatch up those snubbed tourists. Japan? France? Costa Rica? They’ve got beaches, culture, and—most importantly—leaders who don’t threaten to tariff your grandma’s knitting supplies.
The Multiplier Effect of a Shrinking Welcome Mat
Now let’s talk ripple effects. When fewer tourists show up, it’s not just the hotels that take a hit. It’s restaurants, souvenir shops, Uber drivers, museums, street performers, and yes, even those terrifying wax figures of Nicolas Cage in Las Vegas.
Less spending means less tax revenue. Less tax revenue means fewer funds for local services like police, fire departments, and schools. It’s a domino effect with a capital D.
And let’s not forget that tourism is one of the few U.S. exports you don’t have to ship. Tourists come here, spend money here, and then leave with TSA-approved memories. It’s economic magic. Or it was, until we decided to slap that magic with a 25% import duty.
So, What Now?
Here’s the million—or $90 billion—dollar question: what’s the plan?
If you’re Team Trump, the answer is likely, “Double down and blame the Fed.” In fact, the S&P 500 recently took a nosedive after Trump decided to publicly eviscerate Jerome Powell. Because nothing screams “economic stability” like a full-on political slap fight with the guy responsible for interest rates.
Meanwhile, analysts at Apollo Global Management are straight-up saying that if tariffs stay where they are, the U.S. will “absolutely” enter a recession in 2025. “Absolutely” is doing a lot of heavy lifting there. That’s not your usual Wall Street hedging. That’s full-body panic mode.
The Irony Is Dripping With Syrup (Canadian, Naturally)
Perhaps the darkest comedy in all this is that Trump’s policies are hurting the very people and places that rely on tourism and trade the most—rural communities, small towns, and border regions. These are the places that cheered “America First” the loudest, and now they’re watching their local economies dry up faster than a hotel pool in Phoenix.
You can’t slap tariffs on friends, insult allies, and expect them to show up with open wallets and an “I ♥ NY” T-shirt. That’s not how relationships work. That’s not how economics work. That’s not even how Airbnb reviews work.
Final Thoughts: How to Lose $90 Billion Without Even Trying
Congratulations, America. We’ve officially managed to make ourselves less appealing than an Icelandic layover. All it took was a cocktail of protectionism, xenophobia, and old-fashioned diplomatic sabotage. The result? Fewer tourists. Fewer purchases. And one hell of a revenue hole.
So the next time someone suggests that tariffs are the answer to everything, maybe ask them what the question was. Because if the question is, “How do we tank international goodwill and lose billions in revenue while claiming we’re winning?”—then, sure. Mission accomplished.
Otherwise, we might want to start brushing up on our please and thank yous. And maybe roll out a literal welcome mat. One that doesn’t come with a 25% surcharge.
