California Travel Spending Reaches Record $158.9 Billion in 2025
SACRAMENTO, Calif., May 12, 2026 (CALIFORNIA NEWS TODAY) — California recorded $158.9 billion in statewide travel spending in 2025, marking a record high and maintaining its position as the nation’s top travel destination, according to data announced by Governor Gavin Newsom.
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The figures reflect continued recovery and growth in the state’s tourism sector, which remains a major contributor to California’s economy.
“California’s economy is built on resilience, innovation, and global appeal – our tourism industry is a powerful example of that strength. We continue to attract visitors from around the world, supporting jobs, small businesses, and communities across our state,” said Governor Gavin Newsom.
Tourism continues to serve as a significant employment driver across the state. In 2025, California added approximately 4,350 travel-related jobs, bringing total tourism employment to about 1.2 million positions statewide. Hotel demand and bookings also exceeded national trends, with an additional 1.2 million room nights booked compared to the previous year.
San Francisco remained a key contributor to the state’s tourism economy. Visitor spending in the city reached $14.2 billion in 2025, surpassing pre-pandemic levels.
State officials note that domestic travel and major global events contributed to overall growth. However, international visitor spending declined by approximately $1 billion to $25 billion in 2025. Economists previously projected potential declines in international tourism tied to federal economic policy shifts.
Looking ahead, California is preparing to host several major global events expected to further impact tourism. A recent estimate from the Los Angeles Sports and Entertainment Commission projects nearly $892 million in economic impact for the Los Angeles region from the 2026 FIFA World Cup, an increase of roughly 50% from prior estimates. When combined with projected long-term tourism gains from global media exposure, total benefits to Los Angeles County could exceed $1.1 billion..
In addition to the 2026 FIFA World Cup, the 2028 Olympic and Paralympic Games are expected to contribute to continued tourism growth statewide.
Source: California Governor’s Office
