The U.S. travel sector is struggling.
Domestic travel barely grew last year. In 2025, international arrivals fell by more than 5%, a decline that is unique to the U.S. among leading nations. Neighboring Canada accounted for much of that drop.
Global growth is happening elsewhere. India, Latin America, and the Middle East are projected to see 8-10% annual increases in travel bookings through 2028. In contrast, the U.S. is expected to grow only 4%, according to Travel Weekly.
Industry leaders point to policy and economic barriers. Tariffs, slashed spending, decreased travel, and increased visa hurdles are limiting the industry. Proposed fees for foreign visitors and stricter requirements at the border could further drive the wedge.
The 2026 FIFA World Cup is a potential game-changer that could make up for much of the lost travel. Matches will be held in 11 U.S. cities, with MetLife Stadium in New Jersey hosting eight games, including the championship final on July 19. Liberty State Park in Jersey City will host the official Fan Festival, while bars, parks, and public viewing areas across the Garden State will bring the tournament experience to many local communities.
New Jersey’s ability to host world-class events may provide a significant tourism boost.
The 2026 Americas Lodging Investment Summit began on Monday to discuss the impacts the World Cup could have on U.S. travel. Hotel forecasts remain cautious as of right now. STR projects RevPAR growth of just 0.6%, with ADR rising 1%, below inflation. Kalibri Labs predicts a range: slight decline to minimal growth. Industry leaders seem to predict a better year than 2025, but not by much.
Much of it is politics. White House policy decisions and visitor experience will determine whether the World Cup translates into meaningful gains for U.S. tourism. As of right now, the fastest travel growth is happening outside of the U.S. So, while the World Cup could bring much-needed relief, it remains to be seen whether it will be able to stop the bleeding.
The New Jersey Digest is a new jersey magazine that has chronicled daily life in the Garden State for over 10 years.