Tourists appear to be choosing other holiday destinations over Donald Trump‘s America, and experts think it could end up costing the US President billions of dollars. Boycotts on American products around the world are also contributing to this grim economic forecast.
Data published by the International Trade Administration on Monday suggested the number of foreign nationals arriving in the US by plane dropped nearly 10% in March this year compared to last year. According to Goldman Sachs Group Inc, a worst-case scenario could bring about a loss of 0.3% in gross domestic product from boycotts and reduced travel – which would amount to a staggering $90billion (roughly £68bn).
Curtis Allen, a Canadian videographer, cancelled an upcoming US holiday after Trump imposed punitive tariffs on his country. He told Bloomberg: “We’re not just staying home… We’re going to go spend the same money somewhere else.”
He also said he had cancelled his Netflix subscription and isn’t buying American products at his local supermarket. “Now it takes us double the time, because we’re looking at where the products came from,” he added.
Tourists are also rethinking their plans due to increased hostility at the border. The Mirror reported earlier today how there had been suggestions some travellers’ phones were being checked ahead of their US holidays after immigration authorities confirmed the roll-out of a new policy to scrutinise social media accounts.
Brian Honan, CEO of BH Consulting, clarified on Newstalk that border agents are legally authorised to examine your phone in the same manner they can search your luggage. “Border agents in many countries do have the legal authority to search your devices,” he stated. “So, if they do find material that is illegal or offensive, it could mean you are either detained or refused entry.”
Canadians are playing a particularly important role in the drop in travel to the US, with flight reservations down 70 per cent from now until September compared to the same period last year, according to OAG Aviation Worldwide.
And this comes after Canadian actor Jasmine Mooney was detained for nearly two weeks after her work visa was revoked and she was attempting to file a new one.
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European tourists are also taking their money elsewhere, with CEO of hospitality company Accor SA, Sebastien Bazin, reporting a 25 per cent drop in bookings for the summer. He said recent border detentions, two of which involved a French and German tourist, have created a “bad buzz” and sent potential holidaymakers to other countries.
In 2024, international tourists spent a record $254bn (£191bn) in the US, as per ITA figures. The administration also predicted that the country would see 77million visitors this year, but this was before the worst of Trump’s trade war and detentions.
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