European Holiday Makers Shun US Summer Travel Amid Trump Tariff Uncertainty

European airline passengers are increasingly turning away from US summer travel, with booking data revealing a concerning 12.8 per cent decline for the peak months of June, July and August. The downturn, observed before President Trump’s tariff implementation, marks a significant shift from January’s positive booking patterns.

Research conducted by aviation analytics firm Cirium highlighted substantial booking reductions from major European cities. Amsterdam witnessed the steepest decline at 23.2 per cent, followed by Munich at 20.3 per cent. Athens and Barcelona experienced drops of 16.1 per cent and 15.2 per cent respectively, whilst London Heathrow reported a 14.7 per cent reduction.

The impact has been particularly pronounced in key US destinations. San Francisco and Los Angeles bore the brunt of the decline, with bookings plummeting 17.7 per cent and 17.1 per cent respectively. Washington DC also experienced a notable 15.6 per cent decrease in European bookings.

Travel industry expert Paul Charles, chief executive of the PC Agency, expressed surprise at the booking decline, noting that pre-administration figures had shown more promising trends. He attributed the shift to Trump’s tariff policies and subsequent market volatility, suggesting these factors have deterred both consumers and corporate travel budgets.

Airlines are responding to the challenging market conditions with strategic pricing adjustments. Air France-KLM has already implemented economy fare reductions in response to softening transatlantic demand, though IAG, British Airways’ parent company, reports stability in their transatlantic routes.

The beneficiaries of this US travel reluctance appear to be alternative destinations, with industry analysts predicting increased interest in Canada, the UK, broader European locations, and Middle Eastern destinations as travellers seek alternative holiday options.