International tourists to U.S. fall, but Americans keep going abroad
From CNBC: 2025-04-23 13:22:00
American tourists are traveling abroad in large numbers while foreign visitors to the United States are declining. U.S. citizens traveling abroad increased by 1.6% from last March to 6.56 million travelers. The $50 billion gap between U.S. travel spending and revenue remains a concern for the industry, affecting GDP and travel demand.
Factors like trade wars, detentions of visitors, and a strong U.S. dollar have deterred international travelers. JPMorgan predicts a potential 0.1% GDP decline due to reduced foreign travel spending. The U.S. Travel Association anticipates over 12% increase in international tourism spending in the U.S. this year, despite challenges.
International business travel to the U.S. is declining due to uncertainty and perceived unwelcomeness. Bookings from Europe and Canada are down for airlines like United and Delta. While domestic U.S. travel is weaker than expected, American consumers are increasing international trips, softening the impact on some airlines.
Travel agents note a rise in international travel bookings, especially for milestone events like college graduations. Social media and TV shows like “The White Lotus” and “Emily in Paris” inspire travel choices. Advanced bookings for airlines like United are stable, with premium-cabin sales up 17% and international demand rising 5%.
Wealthy retirees and aging travelers are driving high-end international leisure travel, offsetting market volatility. Uncertainty around consumer spending and corporate travel growth may impact leisure travel bookings in the future. Despite challenges, the labor market remains strong, allowing for continued travel opportunities.
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