Balancing Tourism Growth and Community Well-being: Japan’s Approach to Sustainable Tourism
by Haruhiko Koyama
Tourism has become one of Japan’s most important growth sectors, but its rapid expansion has also raised new questions about how destinations can balance visitor demand with community well-being.
According to the Japan National Tourism Organization, international visitor arrivals reached a record 42.68 million in 2025, surpassing 40 million for the first time and increasing 15.8 percent from the previous year. International visitor spending also reached approximately 9.5 trillion yen (about $63 billion) in 2025, underscoring the growing importance of inbound tourism to Japan’s economy.

This momentum has continued into 2026. In April 2026, Japan welcomed 3.69 million international visitors, and cumulative arrivals through April exceeded 14 million, remaining nearly identical to the same period last year amid the Middle East conflict.
Taken together, these figures show that tourism has become one of Japan’s most dynamic growth sectors, supporting local businesses, transportation providers, and communities across the country. At the same time, the scale and pace of tourism growth have made destination management an increasingly important policy issue.

A New Stage in Japan’s Tourism Policy
As tourism demand continues to grow, Japan is increasingly focused on a central policy question: how can the country continue to welcome visitors and benefit from tourism while also maintaining the quality of life of local residents? This question is not unique to Japan. Many destinations around the world, including in the United States, face similar challenges, such as overcrowding, traffic congestion, pressure on public transportation, and concerns from residents about the daily impacts of tourism.
Japan’s tourism policy reflects a shift from a promotion-centered approach toward a more comprehensive model of destination management. Rather than viewing tourism only through the lens of visitor numbers, Japan is placing greater emphasis on distributing tourism benefits, protecting local culture and natural resources, and supporting coexistence between visitors and residents.
In March 2026, the Government of Japan approved the Fifth Tourism Nation Promotion Basic Plan, covering fiscal years 2026 through 2030. The plan positions tourism as a strategic industry for regional and national economic growth, while also emphasizing the need to balance strategic inbound tourism promotion with the quality of life of local residents. It also maintains Japan’s ambitious 2030 goals, including 60 million international visitors and 15 trillion yen (about $100 billion) in international visitor spending, while promoting regional travel and outbound tourism, highlighting its role in fostering mutual international understanding and strengthening aviation networks.
Why Destination Management Matters
While attracting international visitors remains a core pillar of Japan’s tourism policy, the approach has evolved to balance growth with sustainability. This ongoing promotional effort continues to bring clear benefits. However, as visitor numbers reach record highs, it has become evident that a promotion-only focus is no longer sufficient on its own. When visitors concentrate in the same places at the same times, it can result in overcrowding, inconvenience for residents, pressure on local infrastructure, and a decline in the visitor experience itself.
Japan’s recent policy direction recognizes that tourism cannot be sustainable unless it is managed at the destination level. This means that local governments, destination management organizations (DMOs), tourism businesses, residents, and other stakeholders need to work together. It also means that tourism policy must be based on data, long-term planning, and a shared vision for the community.
JSTS-D: A Framework for Sustainable Destinations
To support this shift toward destination management, Japan has developed practical tools for local governments and DMOs. One of Japan’s key tools in this area is the Japan Sustainable Tourism Standard for Destinations, known as JSTS-D. This framework was developed and released by the Japan Tourism Agency in 2020, with the cooperation of UN Tourism. JSTS-D helps local governments and DMOs assess and improve their tourism management practices across areas such as destination management, socioeconomic sustainability, cultural sustainability, and environmental sustainability.
It is increasingly being used by destinations across Japan. As of June 4, 2026, 142 regions and organizations are working in line with the guidelines. The growing number of participating regions suggests that JSTS-D is increasingly being used as a practical destination management tool.
Preventing and Addressing Overtourism
Japan has also strengthened its efforts to prevent and mitigate overtourism. The Japan Tourism Agency supports local initiatives that address overcrowding and other visitor-related pressures through measures such as visitor dispersal, traffic management, visitor etiquette promotion, and strengthening local planning and management capacity.
A key feature of Japan’s approach is its emphasis on locally tailored measures rather than a single nationwide solution. Since overtourism takes different forms in different destinations, each community is encouraged to identify its own challenges and implement measures suited to local conditions. In this sense, Japan’s policy is moving from reactive problem-solving toward preventive destination management, with a focus on monitoring conditions, involving stakeholders, and taking action before problems become severe.
A Local Example: Kyoto City
Kyoto City provides a useful example of how Japan’s sustainable tourism policies are being translated into local action. In a case study from a Japan Tourism Agency support program for preventing and mitigating overtourism, Kyoto City identified several major challenges: overcrowding in popular tourism areas, congestion on city buses and roads, visitor behavior issues, and concerns about declining resident support for tourism. To address these issues, Kyoto City has adopted a package of measures, including special tourist express buses, traffic management in congested areas, efforts to encourage respectful visitor behavior through the Kyoto Tourism Code of Conduct, and guidance to less crowded areas.

Why This Matters Beyond Japan
Japan’s experience is relevant to international tourism discussions, including in the United States, where many destinations face similar challenges such as congestion in national parks, housing pressures in tourism-dependent communities, and the need to maintain resident support for tourism.
Japan is pursuing ambitious tourism growth while also strengthening its sustainability framework. Rather than stepping away from tourism promotion, Japan is trying to connect promotion with destination management—making tourism more resilient, more locally beneficial, and more compatible with community life.
Looking Ahead
As Japan works toward its 2030 tourism goals, the central challenge will be balance. Japan will continue to welcome international visitors and promote regional travel. At the same time, it will need to ensure that tourism growth contributes to local economies, protects cultural and natural resources, and supports the quality of life of residents.
Japan’s current approach offers a useful perspective for other destinations facing similar pressures. Japan’s experience suggests that the long-term success of tourism will depend on whether destinations can generate economic benefits while protecting local resources and maintaining resident support.
References
JNTO, Japan Tourism Statistics
https://statistics.jnto.go.jp/en/
Japan Tourism Agency, the Fifth Tourism Nation Promotion Basic Plan, 2026 (Summary)
https://www.mlit.go.jp/kankocho/content/002005066.pdf
Japan Tourism Agency, Promoting sustainable tourism, 2026
https://www.mlit.go.jp/kankocho/responsible-traveler/en.html
Japan Tourism Agency, JSTS-D, 2025
Japan Tourism Agency, Case Studies on Sustainable Tourism Initiatives to Prevent and Mitigate Overtourism, 2026
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