European tourism grew by 4.9% in early 2025, even with global challenges. The European Travel Commission, in its latest report, stated that the increase came as more travelers looked for good deals and different types of trips.

Despite economic concerns and new US trade tariffs, Europe stayed strong by offering a wide range of options, attracting more winter tourists, and meeting the rising demand for cheaper, more genuine travel during less busy times.

Winter destinations lead early growth

Europe’s alpine and northern spots have seen strong growth thanks to colder weather and a mix of travel options.

Norway saw a 13.2% rise in visitors and a 15.3% increase in overnight stays, driven by interest in the Northern Lights. These numbers are now over a third higher than in 2019.

Slovakia also saw double-digit gains, with visitor numbers up 14.3%, showing more people are traveling during the off-season and looking for snow-based trips.

Italy, usually a summer favorite, drew attention as a budget-friendly ski choice. It became more popular in winter than Austria and Switzerland, showing that travelers continue to choose based on price.

Off-season travel redefines Mediterranean demand

The Mediterranean is no longer just a summer destination. Southern European countries like Malta and Cyprus saw record numbers of visitors during the off-season, with arrivals up by 12.6% and 15.4% in the first quarter.

Spain had over 17 million international visitors in just three months—almost 2 million more than in early 2019.

This rise shows a growing interest in “cool-cations,” where travelers look for mild weather instead of peak summer heat. Better flight options, especially to Malta, have been instrumental in attracting early-year tourists and helping the region move toward year-round travel.

Eastern Europe regains ground

Central and Eastern European countries are seeing notable growth in tourism. Latvia led the way with a 27.8% rise in visitors, while Hungary and Poland followed with increases of 18.2% and 16.2%.

Better flight options, more travel confidence, and the addition of Bulgaria and Romania to the Schengen Area made it easier to move around the region and boosted cross-border travel.

Although these countries are still bouncing back from slower growth during the pandemic and concerns about nearby conflicts, they’re gaining ground again as travelers look for less crowded and more affordable places to visit.

Americans still flock to Europe despite trade tensions

Even with growing concerns about US trade policy and new tariffs, Europe continues to attract American tourists. In the first quarter of 2025, over 80% of European destinations that reported data saw more visitors from the US compared to last year.

Norway remained a favorite for its winter attractions. Mediterranean countries also did well—US arrivals rose by 35% in Malta, 27% in Cyprus, and 20% in Türkiye.

More transatlantic flights this summer, especially from Turkish Airlines, are expected to keep this momentum going.

“European destinations will continue to implement strategic efforts to maintain their appeal to American travellers,” said ETC Executive Director Eduardo Santander. “As long as [travelers] have the means and time, Europe will remain a top destination offering a rich tapestry of experiences.”

Value for money shapes travel decisions

Rising travel costs are changing how people plan their trips. Package holidays are now 10–12% more expensive than last year, leading many travelers to shorten their stays or choose cheaper places to visit.

Countries like Romania, which offer both low prices and rich culture, are seeing more demand.

On the other hand, more expensive destinations like Iceland and Monaco are seeing fewer visitors or no growth at all. For example, Iceland had a 5.7% drop in tourists from France.

A cautious outlook amid rising risks

Early signs look promising, but challenges may lie ahead. New US tariffs on European exports could hurt travel demand and weaken economic confidence in the coming months.

The International Monetary Fund now expects US growth to slow to 1.8% in 2025 and warns this could affect global tourism and spending.

Long-distance travel markets face the most significant risk. If North America enters a recession, demand may drop, and airlines might scale back plans for more transatlantic flights.

Countries that depend on these travelers could see slower growth or sudden changes.

Europe remains resilient and adaptive

Despite these challenges, Europe’s tourism sector has adapted well. Destinations are offering more variety, promoting off-season travel, and improving flight and train connections.

Traveler spending in Europe is expected to rise by 14% in 2025, showing that many people still see travel as a priority.

“Europe’s ability to offer diversity, connectivity, and dependable quality puts the region in a strong position to remain a preferred destination worldwide,” said ETC President Miguel Sanz.

Changing seasons shape travel choices and residency plans

Europe’s focus on value and off-season travel appeals to both short-term tourists looking for budget trips and long-term visitors planning extended stays.

The addition of Romania and Bulgaria to the Schengen Area makes travel easier, and growing arrival numbers suggest the region is becoming more attractive to digital nomads and economic migrants.

As travel habits change, the upcoming European Travel Information and Authorization System (ETIAS) may simplify short-term travel and improve security, though it will require travelers to apply before entering.

Along with other visa updates, ETIAS could shape a new, more structured way for people to visit and stay in Europe.

Pressure builds on policymakers balancing tourism and migration

More tourists are coming to Europe, showing its strong appeal, but this also puts pressure on immigration systems—especially as lower costs attract people staying longer.

Southern and Eastern EU countries, now seeing more tourists and migrants, may call for easier visa rules and better infrastructure.

At the same time, global unrest and growing cross-border movement are pushing EU leaders to better align migration, labor, and travel policies.

Tools like ETIAS and stricter Schengen checks aim to manage movement while still supporting the economy and keeping borders secure.

Steering steadily through stormy skies

Despite economic and political challenges, Europe’s tourism sector is holding strong, supported by budget-conscious travel and interest in off-season trips.

In 2025, staying flexible, offering more variety, and improving connections will be key to handling uncertainty and keeping tourism growing. What keeps travelers coming back isn’t just the places—it’s Europe’s ability to keep changing with their needs.