Weakened Yen Puts Japan-Hawaii Tourism on Life Support
The weakening yen has had a significant impact on tourism between Hawaii and Japan. While it has made travel to Japan more affordable for Hawaiians, it has also priced out Japanese tourists from visiting the islands. In 2019, Japanese visitors spent $2.19 billion in Hawaii, but by 2025 that number had dropped to $1.08 billion. The decline is not limited to tourism; trade between the two countries has also been affected.
The yen's value has fluctuated over the years, reaching a four-decade low of 162 to the dollar in July. This has made it cheaper for Hawaiians to visit Japan but more expensive for Japanese tourists to come to Hawaii. The U.S. dollar was 37.7% stronger against the yen in 2025 than in 2016.
Despite the decline in tourism, some Hawaiian businesses are finding ways to adapt and reach their customers in Japan. For example, Nina Thai, owner of Angels by the Sea Hawaii, has been selling her products at trade shows in Tokyo and Osaka, catering to Japanese consumers who are looking for a taste of Hawaii without having to travel.