California has once again reported record-high tourism spending, with the state reaching $157.3 billion in 2024, according to an announcement by Governor Gavin Newsom and Visit California. This marks a 3% increase from the previous year. The state’s economy has recently become the fourth-largest in the world and its population is on the rise for the second consecutive year.
Governor Newsom emphasized California’s appeal as a travel destination: “California dominates as a premier destination for travelers throughout the nation, and around the globe.” He also expressed concern over potential economic impacts from federal policies, stating that they are “committed to working to protect jobs and ensure all Californians benefit from a thriving tourism industry.”
The announcement coincides with Visit California’s release of its 2024 Economic Impact Report. Key findings include $157.3 billion spent by visitors, support for 1.2 million jobs, creation of 24,000 new jobs, and $12.6 billion generated in state and local tax revenues.
However, projections for 2025 indicate challenges ahead due to global economic pressures attributed to federal policy changes labeled as an impending “Trump Slump.” A decline in international visitation by 9.2% is anticipated along with an overall visitation decrease of 1%. March saw a significant year-over-year decline.
In response to these forecasts, Governor Newsom is encouraging Californians to travel within their own state and has initiated a campaign targeting Canadian tourists.
The state continues to attract new residents as well; Governor Newsom announced nearly a 275,000 increase in population since 2021 despite earlier reports of decline being inaccurate.
California remains an economic leader with its GDP now surpassing Japan’s at $4.1 trillion. It leads the nation in Fortune 500 companies and manufacturing output among other sectors.
