Japan Tourist Spending Hits Third-Highest on Record in Q1

Japan recorded its third-highest quarterly foreign tourist spending on record in the first quarter of 2026, reflecting continued recovery in international travel.

The numbers are despite that the sharp decline in Chinese tourists, which fell by half to 271.5 billion yen amid ongoing diplomatic tensions.

Data from the Japan Tourism Agency showed visitor spending reached 2.3 trillion yen ($15 billion), up 2.5% year-on-year, according to Kyodo News.

Growth was driven by increased arrivals from Taiwan and South Korea, with Taiwanese visitors spending 388.4 billion yen, up 22.5%, and South Korean tourists contributing 318.2 billion yen, up 12.7%.

Spending by US visitors also rose 16.6% to 259.2 billion yen, supported by a weaker yen.

However, spending by Chinese tourists declined sharply, falling by half to 271.5 billion yen amid ongoing diplomatic tensions.

Authorities are monitoring the potential impact of Middle East geopolitical developments on travel demand, particularly as disruptions could affect flight availability and costs.