Trump Slump Could Take a $1.3 Billion Toll on U.S. Travel Spending
Skift Take
It's hard to know exactly how much the U.S. will lose out on international visitors and travel spending because of policies under the Trump administration, but the fact that an industry group is making this kind of statement shows that there's widespread concern.
Travel executives often say uncertainty is bad news for business. Now one group is trying to show just how bad.
The Global Business Travel Association on Friday said it has developed an "uncertainty forecast" to highlight the impact of "mounting geopolitical uncertainty" on the economy.
"There is no question that uncertainty is bad for business travel and bad for the global economy," executive director and chief operating officer Michael McCormick said in a blog post.
In the forecast, the association projects a $1.3 billion loss in overall travel-related spending this year in the United States from Europe and the Middle East (see chart below). That total includes hotels, food, rental cars, entertainment, and shopping that travelers would have done while here. It also factors in airfare that would have been spent within the U.S.
Another $943 million is expected to be lost on airfare that would have been purchased in Europe and the Middle East, $332 million of that for business-related travel.
The projection looks at anticipated lost inbound travel solely from those two regions at this point. While it includes leisure and business figures, GBTA also breaks out the business totals: A loss of nearly $250 million in travel-related spending in the U.S. is expected this year.
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