India Becomes Second-Largest Overseas Source Market for US Tourism in 2025, Surpassing UK

India's Ascendance in US Tourism Market

India has officially surpassed the United Kingdom to become the second-largest overseas source market for US tourism in 2025. This significant development saw more than two million Indian travelers visiting the United States during the year. Fred Dixon, President and CEO of Brand USA, confirmed this achievement, calling it 'an incredible feat' and a 'testament to the strength of the Indian travel market'.

Remarkable Growth and Economic Impact

The surge in Indian tourism to the US represents a substantial 40% increase in visitation volume since pre-pandemic levels in 2019. This growth underscores the increasing sophistication and significant spending power of Indian travelers. In 2024, Indian tourists spent approximately $5,200 per trip, a figure nearly three times higher than the $1,802 spent by the average international visitor. This substantial expenditure highlights the economic value of the Indian market to the US travel industry.

A Shifting Global Landscape

India's rise comes at a time when the broader international inbound travel to the US has faced challenges. Preliminary data for March 2025 indicated an approximate 14% decline in international visits to the United States compared to the previous year. Overseas visitor arrivals to the US in March contracted by 11.6%, with notable declines observed from countries like Germany and the UK. A report from Tourism Economics even revised its 2025 forecast for US inbound travel from an expected 9% growth to a 9.4% decline in international arrivals compared to 2024. This context makes India's sustained growth particularly noteworthy, contrasting with a general downturn attributed to factors such as geopolitical tensions, trade policies, and a strong US dollar.

Evolving Traveler Preferences

While traditional destinations such as New York, California, and Florida continue to be popular, Indian travelers are increasingly seeking experiences beyond these conventional gateways. This trend indicates a growing appetite for diverse travel experiences within the US. India is now recognized as a top 10 source market for most US destinations, and even ranks among the top five for some, reflecting the widespread exploration by Indian tourists across the country. The continued robust growth from India is a key factor for the US travel and tourism sector, especially as it navigates a complex global environment.