The trend in inbound American tourism was downward in 2025. The so-called “Trump slump” led to a 5.5% drop in visitor numbers, with four million fewer visits than 2024 (according to the World Travel & Tourism Council).
The overall trend of decline in visits the US was driven first and foremost by the Canadian market. With 4.2 million fewer Canadians travelling to the US in 2025, the effect of Canada turning frosty on the US as a destination has been profound. Other countries driving the downward trend were Germany (with 225,000 fewer visits), India and France.
DC: insulated from the decline in US visits
One destination that is luckier than the rest is Washington, DC, which relies largely on domestic travel and so has been insulated from the negative trend. Not only did DC see a slight uptick in the number of overall visits, it also posted record economic contribution from those visits.
27.2 million people visited Washington, DC in 2025, surpassing the previous year’s record by 200,000. Of those 27.2 million, 25 million travelled domestically. International visitation declined by 4%. The city reported $11.9 billion in visitor spending.
Destination DC President and CEO Elliott Ferguson said that this revenue will be immediately reinvested, producing direct impact. “Overall, the record economic contribution from visitation creates immediate impact. That’s why now is the time to reinvest in marketing, because when DDC has additional dollars to spend and a steady source of funding, the city sees bigger returns,” Ferguson said.
Making the case for maintaining the tourism marketing budget
The city is now using those revenue figures to defend tourism marketing budgets, arguing that cutting promotion risks reducing future visitor spending.
From April 2023 to October 2025, Destination DC received an additional 1% hotel tax allocation through the city’s tourism recovery district programme. The money funded advertising and sales campaigns aimed at driving overnight stays and visitor spending.
Destination DC representatives share their city’s successes at the Travel Rally 2026
An ROI study with the DC Office of the CFO and tourism research firm Future Partners found that Destination DC’s $19.5m spring and summer 2025 campaign generated $470m in visitor spending and $41.3m in tax revenue. That equated to more than $24 in visitor spending for every $1 spent on advertising.
Despite that, Destination DC’s marketing budget is now being reduced. The city’s fiscal year 2026 budget reallocated tourism recovery district funding, while DC Council approved a separate $6m earmark for sales and marketing activity.
Destination DC said its overall advertising budget has still been cut by two-thirds.
Major events and anniversaries drive the next tourism push
The organisation is now focusing heavily on major events and anniversaries to sustain visitor demand through 2026 and beyond.
Washington hosted World Pride and FIFA Club World Cup activity in 2025. The city is also preparing for America’s 250th anniversary celebrations next year, alongside the 2027 NFL Draft. Meetings and conventions remain central to that strategy.
Washington DC is scheduled to host 18 citywide conventions in 2026. These are events requiring at least 2,500 peak room nights. Together, they are expected to generate 376,000 room nights, attract 246,000 attendees and contribute an estimated $317m in economic impact.
Destination DC is also promoting a series of new openings and infrastructure projects ahead of the anniversary year. These include the National Geographic Museum of Exploration, upgrades to the National Air and Space Museum, improvements around the Tidal Basin and expansion work at Dulles International Airport.
“We had some great events last year, like World Pride and the FIFA Club World Cup, and this summer we have a full lineup of America 250 events,” said mayor Muriel Bowser. “So, we want people to check out all we have to offer, book their trips and come visit us in Washington, DC.”
