Japan breaks 40-million tourist barrier in 2025

Japan welcomed an unprecedented number of international visitors in 2025. The country set indeed a new tourism record despite a sharp drop in arrivals from China late in the year as political tensions raised following the arrival of the new government of Prime Minister Sanae Takaichi.

Government figures released on January 20, 2026 show that 42.7 million tourists visited the country last year, comfortably surpassing the previous high of nearly 37 million recorded in 2024. The surge underscores Japan’s growing appeal as a global “bucket list” destination, helped in large part by a weak yen that has made travel, shopping, and dining more affordable for foreign visitors.

The headline growth, however, masks a significant shift in the composition of arrivals. In December, the number of visitors from China plunged by about 45% year over year to roughly 330,000. The decline followed the diplomatic dispute between Tokyo and Beijing. As Prime Minister Sanae Takaichi suggested in November that Japan could intervene militarily in the event of an attack on Taiwan, China responded sharply, urging its citizens to avoid traveling to Japan for “safety reasons”. The warning had an immediate impact on Chinese travel decisions…

This will have consequences for Japan tourism. China has historically been Japan’s largest source market with nearly 7.5 million Chinese tourists visiting in the first nine months of 2025. China is accounting for about one quarter of all foreign arrivals.

The economic impact has been substantial: Chinese visitors spent the equivalent of about US$3.7 billion in Japan during the third quarter alone, drawn by favorable exchange rates and the country’s diverse attractions. The sudden slowdown has been acutely felt by businesses catering specifically to that market.

Reaching 60 million tourists in 2030?

Even so, Japanese officials emphasized the resilience and breadth of overall demand. Transport Minister Yasushi Kaneko called it a “significant achievement” that total arrivals exceeded 40 million for the first time, noting that strong growth from Europe, the United States, and Australia more than compensated for the December decline from China. “While the number of Chinese tourists decreased, we attracted a sufficient number of people from many other countries and regions to offset that,” he said, adding that Japan hopes to see Chinese visitors return as soon as possible.

The record-breaking year reflects years of government efforts to promote tourism beyond the traditional Golden Route of Tokyo, Kyoto, and Osaka. Campaigns highlighting destinations from Mount Fuji’s iconic slopes to regional shrines, hot springs, and food scenes have helped draw travelers deeper into the archipelago.

With repeat visitors becoming more common, interest is also shifting toward rural areas, aligning with government efforts to ease overcrowding in hotspots such as Kyoto. Looking ahead, Japan has set an ambitious goal of welcoming 60 million tourists annually by 2030.

Still, 2026 could be harder for tourism to grow than earlier thought. Japan’s largest travel agency, JTB, has forecast that visitor numbers in 2026 could be slightly lower than in 2025 due to weaker demand from China and Hong Kong. At the same time, tourism revenue is expected to rise as accommodation prices increase and visitors continue to spend heavily.

Japan starts also to reign into overtourism, which could deter some travelers to visit. Authorities have begun taking steps to manage visitor flows, including entry fees and daily caps on Mount Fuji hikes, and even temporary barriers to curb dangerous photo-taking. Higher tourist taxes and air fees for travelers due to come in this coming July and in 2028 could further cool down the Japan holiday craze.

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