Mexico’s beach destinations, once booming, are seeing a slowdown in high‑spending tourists, adding to economic worries. International air passenger arrivals fell 6% in Cancún, 8% in Los Cabos and a striking 20% in Puerto Vallarta this year, reducing beach and hotel occupancy. Despite a 14% rise in overall “international visitors” last year, many spend little: cruise passengers average $84 per stop, while foot‑crossers from the U.S. spend $59 per visit.

High‑spending air tourists, who generate roughly four‑fifths of tourism revenue, have dropped more than 4% through June, with their average spend also declining. Tourism, a $150 billion industry accounting for about 9% of annual economic activity, faces headwinds from higher airfares, weaker U.S. demand, competition from Caribbean resorts, currency appreciation, crime spikes and sargasso seaweed blooms. Tourism Secretary Josefina Rodríguez cites rising jet fuel costs and U.S. inflation as primary culprits.

President Claudia Sheinbaum promotes Mexico’s natural and cultural appeal, but the surge in low‑spending visitors masks the sector’s underlying weakness, especially as overall visitor growth slowed to under 8% in the first half of the year.