The National Tour Association, American Bus Association and Student & Youth Travel Association released a study showing that international travel to the U.S. is down.
The three associations surveyed their U.S. members about inbound travel, and 51% of respondents reported that their business or destination has experienced a drop in business, bookings or visitation. A quarter of respondents reported no impact, and the rest said they were unsure or do not operate inbound travel.
The survey also found that 32% of U.S. tour and motorcoach operators say they have been impacted; 63% of sellers — including DMOs, attractions, hotels and restaurants — report being impacted; and 61% of DMOs and hoteliers report canceled room nights.
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“This survey reinforces what many of us are seeing across the group travel industry: Economic uncertainty and reduced international visitation are creating real headwinds for operators, destinations, and service providers alike,” said Fred Ferguson, chief executive officer of ABA.
Respondents said that survey participants ranked “economic uncertainty/recession risk/consumer confidence” as the top concern, followed by “international relations/trade disputes” and “reduction in group travel demand” tying for second. Following that were concerns about “government regulations and policy changes,” then “fuel and operational costs” and finally “workforce shortages.”
The survey was conducted from March 25 to April 9 and comes after reports of inbound travel dropping amid geopolitical tensions and federal policies impacting the industry, including tariffs and reports of European tourists being detained at U.S. borders, leading to travel advisories from the U.K., Canada, Germany and Ireland.
Several tourism associations in the U.S. and Canada have created a coalition to voice their concerns about President Trump’s policies “creating an environment of instability” and negatively impacting travel between the U.S. and Canada. Airlines have reduced U.S.-Canada air travel because of a drop in demand caused by the Trump administration’s tariff threats and the president’s rhetoric about annexing Canada as the 51st state.
The U.S.- Canada coalition — which includes the NTA, ABA and SYTA — expects that foreign tourist spending in the U.S. is expected to drop by 11% this year, resulting in an $18 billion revenue loss.
NTA president Catherine Prather said, “I’ve spoken with many of our Canadian tour operators, and the significant losses they’re experiencing based on Canadian travelers canceling plans to visit the United States are now being reflected in what our U.S. destinations and suppliers are telling us. The damage to business is happening now and will continue in the future.”
Survey respondents said they would like to see the NTA, ABA and SYTA ramp up efforts to welcome international visitors to the U.S. and continue to advocate for travel-friendly policies and messages to U.S. officials.
“It is essential to reiterate the importance of tour and travel — including foreign travel — to our national economy,” said Carylann Assante, chief executive officer of SYTA.