Red tape rising: New visa bond proposal adds pressure to U.S. tourism

Writer: Mariana Hernández

August 2025 — Just weeks after the passage of the One Big Beautiful Bill (OBBB) reshaped U.S. tourism by cutting international market budgets, the Trump administration introduces a new hurdle for foreign travelers: a potential visa bond of up to $15,000.

The State Department announced the commencement of a 12-month pilot program that will require applicants from countries with high visa overstay rates or with poor internal screening and vetting security to post bonds that range from $5,000 to $15,000 for visa issuance when applying for B1/B2 business or tourist visas. Currently, the only countries identified are Malawi and Zambia. This program is effective starting August 20, 2025, and aims to discourage visa overstays, but could dramatically raise the cost of entry for international visitors. 

Alongside the bond, the program includes a new in-person interview requirement, the submission of a new Form 1-352, and new passport validation rules for applicants of the Diversity Immigrant Visa Program (DV Program)—a government initiative that gives people from countries with low immigration rates to the U.S. a chance to apply for a green card through a random selection.

The timing of this visa bond proposal is especially significant given the recent OBBB legislation, signed on July 4th, which reduced the annual budget for Brand USA by 80%. The OBBB redirected those funds to modernize air traffic control (ATC) systems with a $12.5 billion investment in infrastructure.

While modernization of air traffic control systems is necessary to improve safety, efficiency, and long-term capacity, it comes at the cost of reducing the budget for international marketing through Brand USA by $80 million a year. This sharp funding cut limits the opportunities for campaigns, and media partnerships that have helped increase awareness, visitation and spend of international visits to the U.S. Without these options for national marketing campaigns, states will need to find alternative avenues such as Destination Marketing Organizations (DMOs), regional marketing coalitions, or private-sector partnerships to fill part of the promotion gap as major international events come ahead, including America’s 250th anniversary and the 2026 FIFA World Cup. 

The hospitality sector is already preparing to receive a large influx of tourists for the coming events. “With seven FIFA World Cup matches set for Houston, alongside the World Baseball Classic, we anticipate a surge of domestic and international travelers,” said Mary Ryan, director of operations at the JW Marriott by The Galleria in Houston, in an interview with Invest:. “Unlike one-weekend events like the Super Bowl or the World Series, the World Cup spans nearly two months, bringing a continuous influx of visitors.”

Added to this drastic budget cut, the visa bond requirement augments difficulties for international tourism. Historically, international visitors played a critical role in economic growth for states like New York, Florida, and California, followed by Nevada and Texas, which represent 62% of the total tourism market share. During 2024 certain cities within these states stand out as major international gateways for the international tourism market, with Miami receiving 5.1 million visitors (14.7% in market share), Orlando with 3.9 million (11.2%), Boston 1.3 million (4%), Houston 0.9 million  (2.7%), Atlanta 0.9 million (2.6%), Fort Lauderdale 0.8 million (2.5%), and Dallas with 0.7 million visitors (2.3%).

“The political environment and our relationships with other countries will be critical to Miami’s future growth,” Craig Haas, area director of operations at the Hyatt Centric Brickell told Invest:. “We hope that local leadership, such as the mayor and the GMCVB, will continue to promote Florida as a destination for large group business, as this helps generate volume and visibility for our hotel and the broader Miami market.”

The NATTO forecast estimates more than 85 million international arrivals to the U.S. for 2026, which surpasses pre-pandemic levels of 79 million international visitors in 2019. But the new visa requirements may discourage potential travelers at a time when the U.S. is already projecting a less welcoming image on the world stage. The bond requirement could price out visitors who would otherwise contribute to local economies that rely heavily on tourism.

While the Trump administration continues efforts to secure U.S. borders, the consequences could be significant for industries reliant on migrant labor, cross-border commerce, and international tourism.