In early 1962, LDS Church president David O. McKay authorized the construction of the nonprofit center to provide employment and scholarships for students at BYU-Hawaii and to preserve Polynesia's culture. It has its roots in the 1940s and 1950s when hukilau and luau beach gatherings were held to earn money to rebuild a local chapel belonging to the LDS Church, which had been destroyed in a fire. "The Hukilau Song," made famous by Alfred Apaka, was written following the composer and song's original singer, Jack Owens, visit to Lāʻi.e.'s hukilau. In October 1980, Guangdong Party's first secretary, Xi Zhongxun, father of current Chinese leader Xi Jinping, visited the PCC during a tour of the United States. After the September 11 attacks, attendance suffered at the PCC. In 2004, the PCC doubled its advertising budget, "to promote local music, dance and food festivals."

The PCC is one of the most frequently visited destinations for tourism in Hawaii, attracting 700,000 visitors annually. The PCC is the venue for the annual World Fire Knife Dance Competition, where contestants display their skills with blazing swords. Since its opening in 1963, over 32 million people have visited the center. Howard W. Hunter is credited with transforming the newly organized PCC from an unprofitable and unknown entity into one of Hawaii's most popular tourist attractions.