US Travel Demand Falls as Europeans Citing Trump Policies & Border Scrutiny Seek Alternatives
European travelers are increasingly opting for destinations in the Emirates and Asia, with demand for trips to the United States significantly declining, according to Sebastian Ebel, chief executive of Tui, Europe’s largest travel operator.
The shift comes amid growing concerns over stricter border scrutiny and immigration policies in the US under the administration of President Donald Trump. Since Trump took office in January 2025, reports have surfaced of tourists being detained and interrogated at the US border, individuals with work permits being sent to Immigration and Customs Enforcement (ICE) detention centers, and wrongful deportations, contributing to a sense of unease among potential visitors.
Tui reported a 1% rise in revenue to €4.9 billion (£4.3 billion) in the quarter ending December, with a 7.5% increase in operating profit to €72.9 million. However, Ebel noted a “significant decline” in travel to the US, attributing it not only to immigration concerns but also to a general “atmosphere” surrounding border control. Despite this, Tui’s cruise business saw profits rise by over 70%, contributing significantly to the company’s overall success.
The waning appetite for transatlantic travel is reflected in broader trends. A report by the European Travel Commission found that 42% of long-haul travelers are considering a trip to Europe this year, down from 45% last year. Interest in European travel among US residents also decreased, with 34% intending to visit Europe, compared to 37% the previous year. Several European countries have issued advisories to their citizens regarding travel to the US, citing the increased scrutiny at borders.
Whereas demand for US holidays has weakened, Tui is experiencing growth in other markets. The company is seeing increased business in the Emirates, particularly Dubai, and renewed interest in the Caribbean, despite previous capacity limitations. Aarin Chiekrie, an analyst at Hargreaves Lansdown, highlighted the success of Tui’s cruise business and rising occupancy rates despite fleet expansion.
Data from the US National Travel and Tourism Office indicates a 4% decrease in overseas visits to the US from western Europe in December compared to the same month the previous year. The US had previously been a lucrative, though not essential, market for Tui, providing a valuable addition to its overall business.
Shares in Tui, listed in Frankfurt, rose 0.4% in early trading Tuesday, and have increased by approximately 10% over the past year. The company’s hotels and resorts segment, however, experienced a double-digit decline in profitability due to losses from a hurricane in Jamaica and the non-recurrence of certain benefits from the previous year.