Factors Driving the Shift from Overseas to Domestic Travel in Japan
Young Japanese individuals are forsaking their passports and international trips in growing numbers.
In Japan, a series of economic, social, and cultural factors are influencing the travel choices of its citizens, leading to a decrease in enthusiasm for overseas travel and an increase in domestic tourism.
Economic Drivers
The weakened Japanese yen and rising costs associated with overseas travel have made international trips significantly more expensive for Japanese citizens. As foreign currency buys less abroad, airfare and other travel-related costs have also risen, making overseas travel less appealing [1]. In contrast, domestic travel offers relative stability in prices, and the yen retains its full purchasing power.
Another economic factor is the recovery in the business travel market, which has rebounded more strongly than leisure travel. This suggests that economic necessity is driving the segments of international travel that still exist, while discretionary leisure travel lags behind pre-pandemic levels [1].
Social and Psychological Factors
Heightened concerns about safety, both in terms of global instability and health risks, have contributed to a preference for the perceived security of traveling within Japan [1]. Young Japanese, in particular, are less inclined to travel abroad, possibly due to a combination of financial constraints, risk aversion, and a growing trend of enjoying local experiences [1].
There is a discernible cultural shift toward valuing and rediscovering local culture and destinations, with domestic travel becoming a preferred leisure activity [5].
External and Unforeseen Factors
Recent viral spread of rumors, stemming from a manga’s fictional disaster prediction, has caused anxiety among both domestic and foreign travelers. While initially affecting inbound tourism, such fears could also reinforce a preference for the familiarity and perceived predictability of domestic travel [2][4].
Evolving policies, such as stricter enforcement of health insurance for foreign residents and new requirements around tax-free shopping, mainly affect foreign visitors and residents, but they highlight Japan’s broader regulatory environment, which can influence overall travel sentiment [3].
Comparative Context
Japan’s international travel readiness, as measured by passport ownership, is notably lower than that of other developed economies. Only 17.5% of Japanese hold a passport, compared to 40–60% in South Korea, the US, and Taiwan [1]. This underscores both structural and attitudinal barriers to outbound travel.
Conclusion
A combination of economic pressures (especially the weak yen and rising costs), heightened safety and health concerns, a cultural tilt toward domestic experiences among the young, and even transient external shocks like viral rumors, are all contributing to a decline in overseas travel by Japanese citizens and a corresponding rise in domestic tourism [1][2][5]. This trend appears set to continue in the near term, barring significant shifts in the economic or social landscape.
According to a study by the outbound promotion division of the Japan Association of Travel Agents (JATA), domestic travel within Japan is a popular preference among Japanese, and the slow recovery in the leisure travel market may be a concern for the travel industry in Japan.
Sports enthusiasts in Japan might prefer domestic events with the economic factors, such as the weakened yen and rising costs associated with overseas travel, making international sports participation less appealing. Instead, they could find a cost-effective alternative in participating in local sports clubs or attending domestic sports events.
Art lovers may also gravitate towards domestic art exhibitions and museums during this period, as they can enjoy the cultural shift towards valuing and rediscovering local culture without incurring the costs and risks associated with traveling abroad. Additionally, the recovery in the business travel market might stimulate domestic arts events and exhibitions, as corporate sponsorship becomes available for local initiatives.