July 9, 2024 CFSI Staff

California tourism bounces back, but misses China

With summer underway and the state Legislature on break, California is experiencing a surge in tourism, benefiting local restaurants, hotels, and attractions. In May, Governor Gavin Newsom highlighted this trend at the Golden Gate Bridge, citing a Visit California report that found travel spending reached $150.4 billion in 2023, a 5.6% increase from the previous year and surpassing the pre-pandemic record of $144.9 billion in 2019. This spending boost created 64,900 new jobs and generated $12.7 billion in tax revenue.

Ryan Becker of Visit California noted a return to normal travel patterns after the pandemic-induced fluctuations. Despite this growth, some regions, like the San Francisco Bay Area, have not fully recovered to pre-pandemic tourism levels, partly due to fewer tourists from Asia, especially China. Extreme weather, such as wildfires and high temperatures, also poses challenges to tourism. Visit California plans to release a report on how the industry can address climate change impacts within the next five to six months.

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