Courier January Courier | Page 16

BUSINESS Forecast for international travel to the United States BY MARK BROWN, NATIONAL TRAVEL AND TOURISM OFFICE, U.S. DEPARTMENT OF COMMERCE THE U.S. DEPARTMENT OF COMMERCE projects international travel to the United States will continue to experience strong growth through 2021, based on the National Travel and Tourism Office’s 2016 Fall Travel Forecast. According to the current projections, the United States would see annual changes ranging from a small decline to strong growth of nearly five percent. In 2016 volume is expected to decrease 0.9 percent and thus break the string of record-setting years that started in 2010. Volume is expected to resume growing in 2017 and by 2021 the forecasted growth would produce 94.1 million visitors—a 21 percent increase—which would represent more than 16 million additional visitors compared to 2015. The latest forecast produces a compound annual growth rate over the period of 3.3 percent. This rate is slightly higher than the rate cited in the 2015 Fall Travel Forecast due to stronger growth from Canada, India and Argentina. It is lower, though, than the 4 percent compounded rate reported in Courier in the fall of 2014. Looking at the global travel market, the United Nations World Tourism Organization expects world arrivals to increase around 4 percent over the next several years, producing annual arrivals records. UNWTO’s original long-term forecast reset in 2012 called for 1.4 billion world arrivals in 2020 and 1.8 billion arrivals in 2030. However, actual growth in 2013 through 2015 was higher than expected, while 2016 growth will be somewhat lower and more in line with original UNWTO expectations. Ultimately, much of global growth will result from travel both to and from Asian countries, which have led the world in growth in population, income and—until a few years ago—visitor arrivals. But developed countries, led by Western Europe, have actually topped world-arrivals growth the past three years, including 2016. Among origin markets, countries with the largest forecasted total growth Top 10 visitor-origin countries to the U.S. 2015 (visitors) 12 January 2017 Rank 2021 (proj. visitors) Canada (20,705,000) 1 Mexico (22,633,000) Mexico (18,414,000) 2 Canada (22,483,000) U.K. (4,901,000) 3 China (5,719,000) Japan (3,758,000) 4 U.K. (5,303,000) China (2,591,000) 5 Japan (3,871,000) Germany (2,272,000) 6 South Korea (2,523,000) Brazil (2,219,000) 7 Germany (2,293,000) South Korea (1,765,000) 8 France (1,991,000) France (1,753,000) 9 Brazil (1,965,000) Australia (1,450,000) 10 India (1,940,000)