Inbound Visitors Reach Record High of 3.62 Million in March, While Rising Fuel Costs Remain a Key Risk
Japan recorded approximately 3.62 million inbound visitors in March 2026, marking the highest level ever for the month, according to the Japan Tourism Agency (JTA).
Inbound tourism continues to expand, with total visitor spending reaching approximately JPY 2.3 trillion in the first quarter (January–March), also a record high for the period.
Across 23 source markets, 20 recorded their highest-ever March figures, excluding China, Hong Kong, and the Middle East. Markets such as Indonesia, Vietnam, the United States, Canada, the United Kingdom, Germany, and Nordic countries also achieved all-time monthly highs.
The JTA noted that inbound demand remains strong overall, with increasing diversification across source markets.
However, demand from China declined due to travel restraint trends, while the Middle East saw a decrease of over 30% year-on-year, impacted by geopolitical instability and flight disruptions.
Outbound travel by Japanese residents also showed signs of recovery, with approximately 1.52 million departures in March, up around 7% year-on-year.
Spending Shifts Toward Accommodation
Inbound consumption patterns are evolving. While total spending continues to grow, the share of accommodation expenses has increased, while shopping-related spending has declined.
This shift is partly attributed to changes in visitor composition, particularly the decrease in Chinese travelers, who traditionally have higher retail spending.
Average spending per visitor remained stable at approximately JPY 221,000, with overall growth driven primarily by increased visitor numbers and longer stays.
The economic impact of inbound tourism is estimated at roughly double the spending amount, reaching around JPY 5 trillion for the first quarter.
Fuel Costs and External Risks
Looking ahead, rising fuel prices driven by geopolitical tensions remain a key concern. While the impact on travel demand is currently unclear, the JTA emphasized the need to monitor developments closely.
At the same time, the agency highlighted the importance of maintaining strong destination appeal, even in a higher-cost environment.
Policy Direction and Market Outlook
The government’s latest tourism strategy targets 60 million inbound visitors and JPY 15 trillion in spending by 2030, with an increasing emphasis on quality over volume.
Key policy priorities include: • Balancing inbound growth with local quality of life • Expanding domestic and outbound travel • Strengthening the tourism industry through productivity and workforce improvements
Japan aims to build a more resilient and diversified tourism structure, less vulnerable to external shocks.
Why it matters
Japan’s inbound market is growing — but also changing.
For travel companies, this means: • Growth is increasingly driven by diverse markets, not a single source country • Spending is shifting from shopping to accommodation and experiences • External risks such as fuel costs and geopolitical factors remain critical variables
The opportunity is not just in volume, but in capturing higher-value travel behaviour.
Based on official announcement by Japan Tourism Agency and industry reporting
