World famous tourist hotspot ‘going under’ as economic chaos sparks horror predictions | Travel News | Travel

Las Vegas, a city fuelled by its booming gambling market and high-spending visitors, is often used as an indicator to see how well the wider US economy is doing. However, the city has seen a cut in its rich revenues as a result of a fall in tourism. The shortage of visitors, reduced number of convention attendees, and lower hotel occupancy have resulted in a fall of around 11% this year.

Las Vegas experienced a loss of around 400,000 visitors in June 2025, compared to the same month last year. It comes as international tourism across the United States has also taken a downturn amid President Donald Trump’s intensifying trade war, which has triggered travellers.

The World Travel and Tourism Council also claims that international spending across the US tourism market is expected to decrease by $12.5 billion this year. It estimates that the industry will generate $169 billion in 2025, down from $181 billion in 2025, a 22.5% fall from its previous peak, reports News.com.au.

Julia Simpson, president of the World Travel and Tourism Council, said: “This is a wake-up call for the US Government. While other nations are rolling out the welcome mat, the U.S. Government is putting up the ‘closed’ sign.”

Some travellers have even pledged to avoid visiting the United States to protest the Trump administration’s policies.

While some industries have profited from the tariffs, others are struggling and may have no other choice but to pass on the costs to customers.

Analysts claim that the shift is as a result of the high cost and lengthy process of obtaining a visa. They also say that the Trump administration’s crackdown on illegal immigration has left some travellers feeling uneasy.

Geoff Freeman, US Travel Association CEO, said: “We need to let travellers around the world know that we want their business. We certainly understand some of the issues we have here in the United States that focus on illegal immigration.

“Unfortunately, some travellers around the world are wondering if legal visitors are welcome.”

Industry leaders are hoping that next summer’s World Cup, where games will be hosted in cities including Philadelphia, will contribute to reversing the trend.