25% of the local economy is based on tourism,[citation needed] most notably the downhill skiing and biking resorts in Åre, Duved and Storlien.

The kings of Sweden and Norway came to stay in Åre and Storlien for recreational purposes since the 19th century.

Through Åre goes the European route E14 and the Mittbanan railway, connecting the larger towns Östersund and Trondheim.

Tourism in Åre started as King Oscar II in 1882 supervised construction of the Östersund–Trondheim railway.

[6] Åre along with Östersund were initially selected to host the 2021 Special Olympics World Winter Games.

[7] However, due to a variety of issues including lack of funding, on 19 December 2019, the event will not take place in Sweden.

Åre has also been the site for the alpine events in Sweden's eight failed bids to host the Olympic Winter Games, including for the 1984, 1988, 1992, 1994, 1998, 2002, 2022 and 2026.

[citation needed] In 2008 Åre was appointed as one of the ten best ski-resorts in the world at the list from the magazine Condé Nast Traveller[9] The nearest airport is situated 99 kilometres (62 mi) eastward, on the island of Frösön in Östersund.

Norrtåg operates the Mittbanan railway from Storlien (where Trondheim-bound diesel trains connect), via Åre and Östersund to Sundsvall.

Åre is connected to Stockholm, Gothenburg and Malmö through long distance SJ 3000 (higher-speed trains) and InterCity.