Global travel industry set to outpace global economy with US$16T boost by 2035 – WTM

GLOBAL – The travel industry has been forecast to grow faster than the global economy over the next decade, according to the World Travel Market (WTM) Global Travel Report released on November 4, 2025, the first day of WTM London.

The report states the sector is set to post average annual growth of 3.5%, surpassing global economic growth projected at 2.5% per year.

This momentum reflects the industry reaching record levels in 2025, with international arrivals expected to top 1.5 billion, exceeding 2019’s pre-pandemic highs.

By 2035, the global travel industry is forecasted to generate over US$16 trillion, equating to nearly 12% of global GDP, based on research by the World Travel & Tourism Council and Oxford Economics.

The report cites factors such as emerging market growth, particularly in Asia Pacific, longer stays, and consumers prioritizing experiences over goods.

Destinations are leveraging live events, with high-profile tours like Taylor Swift’s Eras Tour attracting millions, bolstering travel growth.

Additionally, trends include traveling off the beaten path, shoulder-season bookings, and the ‘coolcations’ phenomenon benefiting northern destinations like Sweden and Finland.

The aviation and cruise sectors are expanding with over 15,000 aircraft on order, a 6% growth in cruise deployment, and hundreds of thousands of new hotel rooms opening.

Digital platforms and AI increasingly drive demand, although economic and geopolitical challenges persist. North America faces a cautious outlook with US arrivals projected to dip 6% in 2025, delaying a return to 2019 levels until 2029.

Chris Carter-Chapman, WTM London’s Event Director, remarked that the report underscores travel’s accelerating pace, highlighting the event as vital for industry networking and strategy.

The United States remains the largest tourism economy, contributing US$2.36 trillion in 2024, supported by iconic destinations and a resilient domestic market.

China follows with US$1.3 trillion, driven by its booming domestic travel market and rising international appeal.

Europe continues to dominate the tourism sector, with Germany leading the continent at US$487.6 billion and France remaining the most visited country.

Key emerging markets such as India (US$231.6 billion) and Mexico (US$261.6 billion) have also seen increased travel activity, propelled by cultural and heritage tourism.

Investments have surged in hotel infrastructure, with over 500,000 new rooms opened globally in 2025 and another million in development.

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