California’s tourism industry reached a new milestone in 2025, with statewide travel spending hitting a new high, Governor Gavin Newsom announced.
In a statement released on May 12, 2026, Governor Newsom said that statewide travel spending reached a record high of $158.9 billion, reinforcing California’s position as the No. 1 travel destination in the country.
Tourism continues to be a critical industry and significantly drives economic growth across the state.
In 2025, a total of 4,350 travel-related jobs were added, which brought total tourism employment to around 1.2 million jobs across California, according to the governor’s office.
Hotel demand and bookings surged in 2025, outperforming national trends, with 1.2 million additional room nights booked throughout the state.
California’s economy is driven by resilience, innovation, and global appeal, Governor Newsom said, adding that the state’s tourism industry is a “powerful example” of that.
“We continue to attract visitors from around the world, supporting jobs, small businesses, and communities across our state,” he added.
New data shows California remains THE TOP STATE IN AMERICA FOR TOURISM — with a record $158.9 BILLION in economic activity in 2025.
This remarkable success is a proof point of our resilience against the international tourism downturn that Donald Trump has caused. pic.twitter.com/xJLh8LgpRv
— Governor Gavin Newsom (@CAgovernor) May 12, 2026
San Francisco Leads Tourism
San Francisco continued to lead as a key driver of California’s tourism economy.
Visitor spending in the City of the Golden Gate totaled $14.2 billion in 2025, exceeding pre-pandemic figures, according to the governor’s office.
The city welcomed over 23 million visitors in 2025, which generated nearly $655 million in tax revenue for the city and supported 63,900 jobs, according to San Francisco Travel.
Visitor volume in 2026 is projected to surpass 12 million, as 38 scheduled events in the city are expected to generate more than 674,000 room nights.
Major upcoming events in San Francisco, such as Super Bowl LX and the FIFA World Cup, will help boost local businesses, hotels, and F&B establishments. The increased visitation to the city will also benefit the state and generate more tourism economy.
Economic Slump
International visitor spending in California declined by $1 billion to $25 billion in 2025 due to a change in the federal economic policies, according to the governor’s office.
Evolving geopolitical and political dynamics impacted international visitation to California from key countries.
Arrivals from Canada, a key international source market for California, saw visitation dropping by 13.8% YOY in March 2026, according to Visit California. Other notable declines were reported among arrivals from the Middle East (55.9%) and India (18.1%).
Major Event to Offset Losses
Looking ahead, a lineup of major events, which will drive domestic visitation to California, is expected to offset the losses from international arrival numbers.
With just a few weeks left for the 2026 FIFA World Cup to begin, the Los Angeles region is projected to see a major boost in economic impact.
Los Angeles and the San Francisco Bay Area will host eight and six World Cup matches, respectively.
Citing a new estimate from the Los Angeles Sports and Entertainment Commission, the governor’s office said that the region is expected to see around $892 million in economic impact, jumping by nearly 50% from the 2024-25 estimate.
The World Cup, along with the 2028 Olympic and Paralympic Games, coupled with the continued investment in tourism infrastructure and promotion, will help California remain well-positioned for sustained growth this year despite headwinds.
California does it again! Despite all the crying from angry MAGAts who wish they lived in Alabama, CA is still performing strong and will ALWAYS be a major tourist destination. Well, until the oil production efforts by Trump and other short sighted morons destroy our beautiful beaches.
The MAGACAN hypocrite cowards will still come here, spend their tourist dollars, eat Mexican food made by immigrants, and even go to “woke Disney.
Of course Newsom is going to say that, but according to pretty much every poll shows #1 New York, #2 Florida & #3 California.
Now if it based on dollars spent it would make sense CA. #1, everything here costs more than in other states.
Consider the source.
Do you think people are spending 160 Billion to visit Kentucky and to go to the Creation museum? Maybe Arkansas has some attractions we are unfamiliar with?
KAPOSER – what else would it be based on? Once again, CA leads the nation in making money. Keep crying.
Now, what costs more here for tourists (besides gas) than New York or Florida? Provide specific examples or stop wasting your time looking ignorant.
If you consider the source of the KaKaPoo comment, you’ll know it’s the usual MAGAT bucket of lies.
> Consider the source.
Quite so … more stupid dishonest malarkey from KP (who has severe NDS) to ignore.
Glad to hear that California continues to draw in tourists. California has more things to do and see than any other US state. Other states have things to offer and a little bit of this and a little bit of that, but California has the total package: ocean, lakes, rivers, mountains, desert, surfing, skiing, weather, and on and on. Let’s not talk about earthquakes (rather have those than cyclones/hurricanes or tornadoes….LOL!!!). We have visited every state and travelled extensively around the globe (next destination: Perth, Australia…then head north to see the stromatolites in Cervantes, dolphins and dugongs at Monkey Mia, and Sun Pictures in Broome). After our travels, we just love returning home to California!
🤣
Bologna
Love the Noro/Hanta virus cruise ship parked out front today. Hopefully they don’t bring our community any viruses. If so, mask up and get some shots!
Hopefully the Trump-loving MAGA crowd stay away from CA. Newsom 2028!