Los Angeles experienced its first decline in tourist numbers since the pandemic. This drop comes at a time when almost every other county in California saw an increase in visitors.
As per recent data from Visit California, the state’s tourism sector performed well overall in 2025. Travelers spent around $158.9 billion, marking a slight rise of over 1.7% compared to the previous year.
Tax revenue from tourism hit $13.6 billion, which is a 3.6% increase from the year before. Additionally, the number of travel-related jobs has grown, with the state employing 1.2 million more individuals than in the prior year, the report indicated.
Analyzing the situation at the county level, the report highlighted that travel demand increased in 55 out of 58 counties. Oddly, despite overall growth throughout California, Los Angeles saw a drop in tourism for the first time since the COVID-19 pandemic hit.
Travel spending in LA saw a decrease of 0.1% year-over-year, contrasted with the usual annual growth of nearly 3% over the last decade. Spending by air travelers also fell sharply by 8%, which contributed to LA’s tourism challenges, amounting to a revenue loss of $188 million for the county.
“Los Angeles serves as California’s main global gateway,” noted Visit California’s CEO, Caroline Betata. She pointed out that the region is especially sensitive to changes in international travel, which has decreased, making LA the first to feel the impact. From August to November 2025, international arrivals dropped by 30%, while the state’s numbers rose by 3%.
A recent report indicated that the drastic drop in international travel early in 2025 resulted in reduced hotel tax revenues for two fiscal years. However, there is hope for a rebound with the upcoming World Cup in 2026.
Cautiously, some experts suggest that this recovery might be short-lived as summer bookings from Europe have declined for the second consecutive year due to ongoing tourism boycotts.
Betata expressed optimism about the changes over the next three years as LA prepares to host the World Cup and the 2028 Olympics.
In contrast, California as a whole appears to be on a positive trajectory. Projections estimate that visitor numbers will reach 276.6 million in 2026, showcasing a 1.8% increase from last year, while travel spending could rise by 3.5% to approximately $164.8 billion.
“We’re already seeing better results this year than last,” Betata commented, referring to the strong first few months that have surpassed the rest of the country.
This momentum comes when California is gearing up for significant global visibility with major international events lined up, piquing the interest of potential travelers worldwide.
In a related note, Betata recently announced her intention to step down after 30 years leading Visit California.
The California Post has reached out for additional comments from Visit California and the Los Angeles Tourism Authority.
