Tourism is Nevada’s economic lifeblood — and there are signs it may be slowing down.
A March 27 report by Harry Reid International Airport showed international passenger traffic dropped 19.6 percent from January to February, while domestic traffic declined 6.9 percent. Overall, 4 million travelers passed through the airport in February, representing a 7.5 percent decrease compared to last year.
The Las Vegas Convention and Visitors Authority reported similar trends. According to their data, overall February visitor volume was down nearly 12 percent from a year ago. Convention attendance fell almost 20 percent. Hotel occupancy dropped 3.5 percent, and the total number of room nights was down 11 percent.
International visitation saw steep declines from two major markets: Mexico and Canada. Flair, a Canadian airline, reported a 55-percent drop of passengers traveling to Las Vegas, compared to the same month last year. AeroMexico saw a 63-percent drop from January to February, putting it 16 percent lower than last year.
Why is this happening? Are international travelers responding to recent U.S. political rhetoric and tariffs, or the Trump’s administration’s immigration enforcement?
Amanda Belarmino, UNLV associate professor of hospitality management, believes it has more to do with the economy.
“In the last 18 to 24 months, we've started to see some declines due to pressures from inflation, increased credit card debt, and issues with the price of gas,” Belarmino said.
However, she noted, factors such as wildfires and geopolitical tensions still may be contributing to the decline.
“We've seen a decline in international visitors ever since COVID, particularly from Asia, especially with changes in relationships with China,” she said. “Southern California is Las Vegas’ largest domestic market, but we've seen some decrease in that because of the fires.”
Belarmino also noted that international travel from Israel, typically high, is low due to the war there. “Peace in both Ukraine and Israel would be very beneficial from a humanitarian standpoint, but also for our industry,” she said.
The Clark County Department of Aviation was unable to participate in the discussion but provided the following statement regarding the decline in international visitation:
“It’s important to note that February 2024 had 29 days due to the leap year, and Las Vegas hosted the Super Bowl, which significantly impacted travel patterns.
“At this time, we can’t definitively attribute last month’s dip to anything specific and will need to look at future numbers to determine if there is in fact a trend.”
So, are these declines having a tangible impact on Las Vegas tourism?
Yes, according to Jerry Perkins, president of the Las Vegas Tourism Guides Guild, a member focused organization that provides certification and networking for local tour guide business.
Perkins said some businesses are starting to worry about whether they can keep their doors open. “We have a number of businesses that focus just on international tourism,” said. “They haven’t had to close, but they’re definitely concerned. It might not be too long before some of the smaller businesses might not be able to continue, too.”
Additionally, some international travelers tell members of Perkins’ guild that they’re hesitant to visit the U.S. due to ongoing concerns.
“People are scared they’ll be rejected at customs,” Perkins noted. “Some of them believe the National Parks are closed, based on everything they've heard about, regarding layoffs. Others are simply saying they want to boycott travel to the United States because of the rhetoric from the President.”
He added that tour businesses say “it’s difficult for them to be positive in this atmosphere when their potential clients are concerned they're going to be treated rudely here; that they're not welcome.”
Guests: Jerry Perkins, president, Las Vegas Tourist Guides Guild; Amanda Belarmino, associate professor of hospitality management, University of Nevada, Las Vegas
