Is Tourism the Largest Industry in Hawaii?

By Alice Nichols

Hawaii is one of the most popular tourist destinations in the world. Its beautiful beaches, lush greenery, and rich culture have made it a favorite among travelers.

But is tourism really the largest industry in Hawaii? Let’s find out.

Overview of Hawaii’s Economy

Hawaii’s economy is heavily reliant on tourism, but it’s not the only industry that drives the state’s economy. According to the State of Hawaii Department of Business, Economic Development and Tourism, other major industries include:

  • Agriculture
  • Defense
  • Education and Health Services
  • Financial Activities
  • Government
  • Professional and Business Services
  • Retail Trade
  • Transportation and Utilities

Tourism Industry in Hawaii

Tourism is undoubtedly a significant contributor to Hawaii’s economy. In fact, it is one of the largest industries in the state. According to data from the Hawaii Tourism Authority:

  • In 2019, over 10 million visitors came to Hawaii.
  • The total visitor expenditures were approximately $17.8 billion.
  • The tourism industry provided jobs for over 216,000 people.

The Impact of COVID-19 on Tourism Industry in Hawaii

The COVID-19 pandemic has had a significant impact on Hawaii’s tourism industry. In March 2020, Governor David Ige announced a mandatory quarantine for all visitors to the state. This led to a sharp decline in visitors and revenue for businesses that rely on tourism.

According to data from the Hawaii Tourism Authority:

  • In April 2020, visitor arrivals decreased by 99.5% compared to the same month in 2019.
  • The total visitor expenditures for the first half of 2020 were approximately $1.2 billion, a decrease of 61% compared to the same period in 2019.

Conclusion

Tourism is undoubtedly a significant industry in Hawaii, but it’s not the only industry that drives the state’s economy. While tourism provides jobs and generates revenue for many businesses, other industries such as agriculture and defense also play a crucial role in Hawaii’s economy. The COVID-19 pandemic has had a significant impact on Hawaii’s tourism industry, but it remains to be seen how the state will recover once travel restrictions are lifted.

Sources:

  • State of Hawaii Department of Business, Economic Development and Tourism: https://dbedt.hawaii.gov/
  • Hawaii Tourism Authority: https://www.hawaiitourismauthority.org/