US introduces $250 visa fee amid decline in overseas travel

WASHINGTON: The imposition of a new $250 “visa integrity fee” on travelers to the United States risks further straining the struggling travel industry, as the number of visitors from abroad continues to decline due to President Donald Trump’s crackdown on immigration and hostility from many foreign countries.

U.S. outbound travel fell 3.1 percent year-on-year in July to 19.2 million, according to U.S. government data. It was the fifth month of decline this year, defying expectations that annual visitors would finally surpass the pre-pandemic level of 79.4 million in 2025.

The new visa fee, which is set to take effect Oct. 1, adds an additional hurdle for travelers from non-visa-waiver countries such as Mexico, Argentina, India, Brazil and China. The additional charge brings the total cost of a visa to $442, one of the highest visitor fees in the world, according to the U.S. Travel Association, a membership organization.

“Any friction we add to the traveler experience reduces travel volume to some extent,” said Gabby Rizzi, president of Altour, a global travel management company. “It will become a more significant issue as the summer season winds down, and we will have to factor the fees into travel budgets and documentation.”

International tourist spending in the United States is expected to fall to $169 billion this year, down from $181 billion in 2024, according to the World Travel and Tourism Council.

The visa fee reinforces a bleak perception of the United States under Trump, whose immigration policies, foreign aid cuts and heavy tariffs have eroded America’s appeal as a destination — even with major events on the horizon like the 2026 FIFA World Cup and the Los Angeles 2028 Olympics.

The Trump administration proposed a government regulation on Wednesday aimed at tightening visa deadlines for students, cultural exchange visitors and members of the media.

In early August, the administration said the United States could require bonds of up to $15,000 for some tourist and business visas under a pilot program starting Aug. 20 that would last about a year, to crack down on visitors who overstay their visas.

Tourism Economics, an Oxford economics consultancy, had forecast in December 2024 that U.S. outbound travel would grow by more than 10 percent year-on-year in 2025. Instead, it is on track to fall 3 percent, said Aran Ryan, director of industry studies at Tourism Economics.

“We see this as a sustained shock, and we expect much of it to be contained across the administration,” Ryan said.