Las Vegas Tourism Faces Another Ominous Warning

Las Vegas' tourism industry continues to go bust. Harry Reid International Airport saw its largest drop in passengers in November, continuing a yearlong downward trend.

Compared to last November, arrivals and departures were off 9.6%, per the Las Vegas Review Journal.

Traffic at Harry Reid has declined for 10 straight months. The last time there was a year-over-year increase was in January, at 0.4%. Overall, passenger totals have declined 5.5% to 50.6 million visitors.

Though December travel totals are due next month this past year will go down as a loser for the $87 billion Vegas tourism industry, by far Nevada's largest sector and a bellwether of the U.S. as a whole.

How Much is Vegas Struggling?

The numbers are as pretty as a casino bathroom in the wee hours of the morning. This past July, room occupancy was down 18.6% from 2024. The dip from visitors last year to visits this year is steeper than any decline since the pandemic.

Why is Vegas Struggling?

The problems are indicative of the U.S. as a whole. International tourism is dwindling, and the biggest drop off is coming from Canada, where citizens are outraged over President Donald Trump's tariff regime and remarks about making Canada the 51st state.

Last month, there was a decline of 40% in the number of passengers on Air Canada. For the year, ticket sales on Air Canada have fallen 33%, and the number is down 62% on an Edmonton-based economy flyer called Flair.

There are increased barriers facing tourists of all kinds to the U.S., beginning with a $250 "visa integrity fee." Next year, the U.S. could ask tourists from dozens of countries, including close European allies, for their five-year social media histories before they can make the trip.

Once tourists arrive in Vegas, they are confronted with an increasingly expensive and luxury-focused city. Once known as a haven for thrifty travelers, Vegas is now a place where the house almost always wins. Triple-zero roulette wheels, which no longer makes the game a 50/50 proposition, are now commonplace on casino floors.

The play-in cost for Blackjack has also skyrocketed: most table games now enforce a $25 buy-in. Today, only six casinos on the strip accept a $5 buy-in.

Slate writer Luke Winkie published an telling piece recently on Vegas' decline. At the end of his trip, he still experiences Vegas magic: he wins $900 at a slot machine. "It was by far the best night I've ever had at a casino," he writes.

Will Vegas' Fortunes Improve in 2026?

The deck appears to be stacked against it. With private equity buying up more casinos and properties, prices will likely continue to rise.

Due to escalating costs, an increasingly squeezed American middle class is also staying home. Domestic passenger counts at Harry Reid were down 8.8% in November.

As the calendar flips to 2026, Americans overwhelmingly say they're struggling with the cost of living. For many, rolling the dice on a Vegas trip may not be in the cards.