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Why Is Everyone Going to Japan? The 2025 Boom and the 2026 Slowdown

A record 42.68 million visitors in 2025, a sharp fall from China in 2026, and new taxes and prices for visitors. What is really happening in Japan tourism.

Travel ops29 August 2025Ervin Loke
Path winding through a tunnel of vermilion torii gates inscribed with Japanese characters at Fushimi Inari

Why Is Everyone Going to Japan? The 2025 Boom and the 2026 Slowdown

Japan received a record 42.68 million international visitors in 2025, up 15.8% on the year before and almost 11 million more than in 2019 (JNTO, 2026). A weak yen, strong demand from nearby Asian markets and Expo 2025 in Osaka did most of the work.

2026 has taken a different turn. After China told its citizens to avoid Japan in November 2025, Chinese arrivals fell by more than half. Total arrivals for January to August 2026 were 2.7% lower than a year earlier (Travel Voice, 2026). South Korea is now the largest market by a distance.

Here's what's driving the boom, what the China slump has changed, and what it means if you're planning a visit.

Key Takeaways

• 2025 was a record: 42.68 million visitors spent ¥9.5 trillion, led by South Korea, China and Taiwan (JNTO; Japan Tourism Agency, 2026).

• Chinese arrivals fell 56.4% in the first half of 2026 after Beijing's travel advisory, while South Korean arrivals hit new records (JNTO, 2026).

• Hotel occupancy rose in 2025 to 61.8% nationally and 75.3% at business hotels, with foreign guests filling a growing share of rooms (Japan Tourism Agency, 2026).

• Visitors now pay more in several places: a tripled departure tax, higher Kyoto lodging tax, dual pricing at Himeji Castle and a new tax-free refund system from November 2026.

Two women in kimonos on a historic Kyoto street at dusk with the Yasaka Pagoda behind
Two women in kimonos on a historic Kyoto street at dusk with the Yasaka Pagoda behind

Why has tourism to Japan increased so much?

Three things explain most of the rise. What changed after 2022 is that they all pulled in the same direction at once.

The yen is still weak

The yen has stayed far weaker against the dollar than it was before 2022. For visitors paid in dollars, won or Singapore dollars, meals, trains and shopping cost noticeably less than they did a few years ago. Hotels are the exception, and we come to those below.

Asia is flying in

Most of the growth comes from close to home. In 2025 the three largest markets were South Korea, China and Taiwan (JNTO, 2026):

Market

Visitors in 2025

Change on 2024

South Korea

9.46 million

+8.3%

China

9.10 million

+30.3%

Taiwan

6.76 million

+11.9%

Together they sent more than 25 million people. Short flights, frequent low-cost routes and easy weekend trips make Japan an obvious choice from most of North and South-East Asia.

Expo 2025 gave Osaka a year in the spotlight

The World Expo ran in Osaka from 13 April to 13 October 2025. It gave visitors a reason to add Osaka and the wider Kansai region to a Tokyo trip.

Spending grew with the crowds

Visitors spent a record ¥9.5 trillion in 2025, up 16.4% on the year (Japan Tourism Agency, 2026). Spending per person barely moved, rising 0.9% to about ¥229,000, so the growth came from more people arriving. Lodging was the fastest-growing category, at ¥3.5 trillion and up 26.7%.

More visitors made 2025 a record; spend per head barely moved.

Is tourism to Japan still growing in 2026?

Not overall. In mid-November 2025, after Prime Minister Sanae Takaichi's remarks on Taiwan, China's foreign ministry advised its citizens to avoid travel to Japan. Beijing also urged travel agencies to cut Japan-bound tour numbers by 40% (Japan Today, 2025).

The effect was immediate. Chinese arrivals fell 45% in December 2025 and 61% in January 2026 (CNBC, 2026).

Over the first half of 2026 they were down 56.4%, to about 2.1 million. In August 2026, Chinese arrivals were 59% lower than a year earlier (Japan Times, 2026).

Other markets have offset part of the fall. South Korean arrivals rose 28.7% in August 2026 to 850,500, a record for the month. Total arrivals for the first half were 21.1 million, down 2% (Nippon.com, 2026).

The gap is widening, though. August's total fell 9.6% to about 3.1 million, and arrivals for January to August were 27.6 million, down 2.7% (Travel Voice, 2026).

Japan lost its second-largest market in 2026, and growth elsewhere hasn't fully replaced it.

How full were Japan's hotels in 2025, and what do they cost?

The latest full-year figures are for 2025, before the fall in Chinese visitors took hold. Hotels were fuller than a year earlier, especially the ones foreign visitors use. National room occupancy was 61.8% in 2025, up 2.2 points on the year. Business hotels ran at 75.3% and city hotels at 74.2%, while ryokan sat much lower at 38.4% (Japan Tourism Agency, via HotelBank, 2026).

The mix has shifted too. Foreign overnight stays rose 8.2% in 2025 to a record, while Japanese overnight stays fell 3.8% for a second year running. Visitors from abroad are now doing more of the filling.

Prices have followed demand, and they kept rising into 2026 despite the China slump. Japan's national average daily rate hit a record ¥23,397 in April 2026, 4.6% above April 2025 (STR, 2026). Visitors had already spent ¥3.5 trillion on lodging in 2025, up 26.7% (Japan Tourism Agency, 2026). The weaker yen still helps, but much of the saving now goes on the room.

The currency discount is real, but the hotel is where most of it disappears.

What changed for visitors in 2026

Several charges rose during the year, and one rule changes in November. None of them will stop a trip, but each is worth knowing before you budget.

The departure tax tripled. Japan's International Tourist Tax went from ¥1,000 to ¥3,000 per person on 1 July 2026 (JNTO, 2026). It's usually collected inside the air fare, so most people won't see it as a separate line.

Kyoto restructured its lodging tax on 1 March 2026 (Kyoto City Tourism Association, 2026). It's charged per person, per night, by room price:

Room price per night

Before March 2026

From March 2026

Under ¥6,000

¥200

¥200

¥6,000 to ¥19,999

¥200

¥400

¥20,000 to ¥49,999

¥500

¥1,000

¥50,000 to ¥99,999

¥1,000

¥4,000

¥100,000 and over

¥1,000

¥10,000

Mid-range rooms roughly doubled, and the top band rose tenfold. For two people staying three nights in a ¥25,000 room, the tax is now ¥6,000, against ¥3,000 before.

Other cities set their own accommodation taxes, so check the one you're staying in.

Some attractions now charge non-residents more. Since 1 March 2026, Himeji Castle has charged ¥2,500 for adults who don't live in Himeji, against ¥1,000 for city residents (Himeji Tourism Association, 2026). The split is by residency, not nationality.

Climbing Mount Fuji costs ¥4,000 per person on every trail, a fee that began with the 2025 season (Fujisan Climb, 2026).

Tax-free shopping changes on 1 November 2026. Visitors will pay the full price including 10% consumption tax, then claim a refund before leaving Japan (JNTO, 2026).

Budget for the room and the taxes around it; the rest of Japan is still good value.

What are the benefits of travelling to Japan in 2026?

Value is still the headline for most visitors. Outside hotels, food, local transport and shopping remain cheap by the standards of other rich countries, for anyone paid in a currency that has held up against the yen.

The practical side is hard to beat. The rail network is fast and punctual, cities are easy to navigate on public transport, and most visitors find Japan a comfortable place to travel alone. Food is a reason to go in itself, from station-counter noodles to regional specialities you won't find outside the prefecture.

Japan still rewards a visit; it simply costs more to sleep there than it used to.

Where the crowds are thinner

Tokyo, Kyoto and Osaka can feel crowded while much of the country doesn't. The government's target of 60 million visitors a year by 2030 depends on spreading people out, and the Japan National Tourism Organization now promotes regional routes actively.

Places that offer much of what visitors come for, with far fewer of them:

  • Kanazawa, for preserved samurai and geisha districts, Kenroku-en garden and a castle, about two and a half hours from Tokyo by Shinkansen.

  • Naoshima and the Setouchi islands, for contemporary art and architecture set into the landscape.

  • Takayama and the Japanese Alps, for old merchant streets, mountain scenery and onsen towns.

  • Wakayama, for clear-water beaches and the Kumano Kodo pilgrimage trails.

  • Fukuoka, a large, easy city with excellent food and short flights across Asia.

The Japan most visitors want is available outside the three cities most visitors go to.

When is the least crowded time to visit Japan?

Cherry blossom season in late March and April and the autumn colours in November are the busiest and most expensive windows. Golden Week around the turn of April and May, the Obon holiday in mid-August and the New Year period are peak times for domestic travel too.

The quieter windows are January to February, outside the New Year holiday, and late May to early July. June is the rainy season across much of the country, but rooms are easier to find and rates are lower.

A few weeks either side of the peaks changes both the crowds and the price.

What the boom means for business travel

For companies sending people to Japan, the same forces show up as higher room rates in Tokyo, Osaka and Kyoto, less availability at short notice and the new taxes on top. A nightly hotel cap set on 2024 prices is likely to be too low for ordinary business hotels in those cities.

We've written a separate guide on what business travel to Japan actually costs in 2026, with per-city planning figures, and another on planning a company trip to Japan, including which weeks to avoid. For the wider picture, see why APAC corporate travel isn't like the US or EU.

For a travel budget, price Japan city by city.

Frequently Asked Questions

Why is tourism increasing in Japan?

Three reasons explain most of it. The yen has stayed weak, which makes Japan cheaper for visitors paid in most other currencies. Demand from nearby markets is very strong: South Korea, China and Taiwan together sent more than 25 million visitors in 2025. And Expo 2025 in Osaka added a year-long event on top. The result was a record 42.68 million international visitors in 2025, up 15.8% on 2024 (JNTO, 2026).

How many tourists visited Japan in 2025?

A record 42.68 million international visitors, according to the Japan National Tourism Organization. That was up 15.8% on 2024 and almost 11 million more than in 2019. They spent a record ¥9.5 trillion, up 16.4%, according to the Japan Tourism Agency. Spending per person was almost flat at about ¥229,000, so the growth came from more people arriving rather than each visitor spending more.

Why did Chinese tourists stop going to Japan?

In mid-November 2025, after Prime Minister Sanae Takaichi's remarks on Taiwan, China's foreign ministry advised its citizens to avoid travelling to Japan, and Beijing urged travel agencies to cut Japan-bound tour numbers by 40%. Chinese arrivals fell 61% in January 2026 and 56.4% over the first half of the year. In August 2026 they were still 59% lower than a year earlier.

Is Japan more expensive to visit in 2026?

For hotels, yes. Room occupancy rose again in 2025, and visitor spending on lodging grew 26.7%, much faster than spending on anything else. Visitors also pay a departure tax that tripled to ¥3,000 in July 2026, higher lodging tax in Kyoto and non-resident prices at some attractions such as Himeji Castle. Food, trains and shopping remain good value for most visitors because the yen is still weak.

How full are hotels in Japan?

National room occupancy was 61.8% in 2025, up 2.2 points on the year, according to the Japan Tourism Agency. Business hotels ran at 75.3% and city hotels at 74.2%, while ryokan were much lower at 38.4%. Foreign overnight stays hit a record, up 8.2%, while Japanese overnight stays fell 3.8%, so visitors from abroad now fill a growing share of rooms.

When is the best time to visit Japan to avoid crowds?

January to February, outside the New Year holiday, and late May to early July are the quietest windows, with easier availability and lower room rates. June is the rainy season in much of the country. Avoid cherry blossom season in late March and April, Golden Week at the turn of April and May, the Obon holiday in mid-August and November's autumn colours if crowds and prices matter to you.

Sources

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