Mining, Markets, and Mountains: Wyoming’s Economy Navigates FY 2025

Wyoming is sparse in people but rich in character, and that same resilience shows up in its economy. Fiscal year 2025 brought a subtle shift in Wyoming’s sales and use tax collections, reflecting both the challenges and adaptability of its industries. Total collections reached $1.3 billion, down 2.2 percent from the previous year, while the state-imposed 4% tax—considered the most reliable indicator of economic activity—dipped 2.5 percent, marking the first decline since 2021.

“This moderate decline is mostly the result of reduced purchases from mineral extraction businesses, partially due to increased efficiency in their operations,” said Dr. Wenlin Liu, Chief Economist with the Economic Analysis Division. “Weaker consumer spending also played a role.”

For three consecutive years, Wyoming enjoyed a streak of impressive growth—11.3% in FY 2022, 14.1% in FY 2023, and 5.9% in FY 2024. But FY 2025 reminded observers that even strong economies experience ebbs and flows. More than half of the state’s major industrial sectors saw declines. Mining, including oil and gas extraction, fell 21.9 percent despite a modest uptick in drilling activity. Transportation and warehousing dropped nearly 20 percent, while utilities and service industries—including automotive and machinery repair—declined roughly 6 percent each. Retail trade, excluding motor vehicles, eked out a 0.8 percent gain—the sector’s weakest growth since 2017.

Yet it wasn’t all contractions. Construction led the year with a 24 percent jump, and manufacturing and information sectors saw steady gains, rising 4.7 and 4.8 percent respectively. Online shopping continued to surge, growing 12.2 percent and now accounting for 8.6 percent of total sales and use taxes—a dramatic climb from just 0.7 percent in 2017.

County-level results painted a patchwork of wins and setbacks. Platte, Uinta, Sweetwater, and Converse counties faced double-digit declines, largely tied to reduced energy or utility activity. Meanwhile, Hot Springs, Johnson, Washakie, Big Horn, and Park counties enjoyed notable gains, though some of that growth reflected refunds from the prior year. Among Wyoming’s largest counties, Teton and Natrona posted modest increases, while Laramie and Campbell experienced declines. “Counties with economies heavily tied to energy mostly experienced steeper declines,” Dr. Liu noted.

On a brighter note, Wyoming’s lodging tax collections reflected the state’s enduring appeal to travelers and outdoor enthusiasts. Collections rose to $67.4 million in FY 2025, a 5.1 percent increase, buoyed by record visitation to Yellowstone and Grand Teton National Parks. Weston County saw the fastest growth at 33.1 percent, followed by Crook County at 14 percent, while Teton County—home to more than half of the state’s lodging tax revenue—rose 6.4 percent.

Behind the numbers is a story of adaptation, resilience, and opportunity. Mining operations are more efficient, online shopping continues to reshape retail, and Wyoming’s natural attractions draw visitors who contribute to local economies. FY 2025 may have been a year of moderate declines, but it also highlighted the state’s ability to adjust and thrive amid shifting economic currents. For a state that balances vast natural resources with growing industries and tourism, the future remains as open and promising as its wide Wyoming skies.