Tourists Shun U.S. Amid Policy Backlash—Europe, Bermuda See Travel Boom

Surge in international travel cancellations to the U.S.

Tourists Shun U.S. Amid Policy Backlash—Europe, Bermuda See Travel Boom

DECK
Political tensions, border crackdowns, and anti-LGBTQ+ measures prompt global travelers to change course; U.S. tourism faces potential $18 billion blow.

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KEY FACTS 

• What: Surge in international travel cancellations to the U.S.

• Where: Declines seen across Canadian and European visitor routes

• When: Trend intensified following Trump’s 2024 reelection

• Why: Tariffs, anti-immigrant rhetoric, and LGBTQ+ policy changes

• Impact: Forecasted 5.5% drop in U.S. inbound tourism for 2025

• Financial Risk: Up to $18 billion annual loss in tourism spending

• Alternatives: Bermuda, Europe seeing spikes in bookings

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SITUATION SNAPSHOT 
Once a magnet for global tourists, from New York's bright lights to Yosemite's serene trails, the United States is now facing a stark reversal in its tourism fortunes. Tensions at the borders, rising political unease, and newly issued international travel warnings have triggered a noticeable shift—one where vacationers are actively choosing to go elsewhere.

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WHAT WE KNOW 
Tourism Economics has downgraded its 2025 outlook for U.S. tourism, projecting a 5.5% decline in international visits instead of the previously forecasted 8.9% growth. The shift coincides with Donald Trump’s return to the presidency and a resurgence of aggressive foreign and domestic policies.

A dramatic example comes from Canada—the United States’ largest source of foreign tourists—where newly imposed tariffs have discouraged travel. Since the 25% tariff announcement on Canadian goods, vehicle crossings have dropped by as much as 45% on certain days. Air Canada also plans to scale back flights to popular American cities starting in March.

A Leger survey revealed that 36% of Canadians with U.S. travel plans had already cancelled them. Complementary data from aviation analytics firm OAG shows bookings on U.S.-bound flights from Canada down over 70% year-on-year. The U.S. Travel Association warns that even a 10% dip in Canadian visits could erase $2.1 billion in tourism revenue and jeopardize 140,000 hospitality jobs.

Travelers from western Europe, who made up 37% of overseas visitors last year, are increasingly avoiding the U.S. due to political polarization, trade-related price increases, and the administration’s stance on international conflicts.

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WHAT’S NEXT 
Concerns loom over the impact visa delays and border policies may have on upcoming major events like the 2026 FIFA Men’s World Cup and the 2028 Olympics. Visa backlogs in countries such as Brazil and Turkey could delay entry for fans and athletes by up to 700 days. Tourism boards and officials from partner nations are calling for assurances, while the U.S. maintains that "'America will be open.'"

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VOICES ON THE GROUND 
"‘You may be liable to arrest or detention if you break the rules’," reads the UK Foreign Office's updated travel guidance for U.S. visitors.

Germany, meanwhile, amended its own advisory following recent high-profile detentions of German citizens.

Transgender and non-binary travelers have also been warned. France, Germany, Norway, and Denmark have each issued specific guidance, citing U.S. policies requiring tourists to disclose birth-assigned gender and the halting of passports with the ‘X’ gender marker.

"‘Polarizing Trump Administration policies and rhetoric’" were cited as a contributing factor in the Tourism Economics report.

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CONTEXT 
The United States had welcomed 66.5 million international visitors in 2023, positioning it as one of the globe’s top travel destinations. But shifting diplomatic postures, growing nationalism, and civil rights criticisms are reversing this trajectory.

Recent polling by YouGov in March revealed that public perception of the U.S. has hit a low not seen since Trump’s initial election. More than half the populations in Britain (53%), Germany (56%), Sweden (63%), and Denmark (74%) now express unfavorable views of the United States.

High-profile border incidents—such as the 12-day detention of a Canadian tourist and the extended imprisonment of a British woman over a visa error—have further deepened global wariness.

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REPORTER INSIGHT
From airport lounges in Toronto to booking desks in Copenhagen, there’s a growing sense of unease about travelling to the U.S. While American cities still glitter with promise, the tightening of entry rules and political turbulence casts a long shadow over the Statue of Liberty's welcome. In contrast, destinations like Bermuda and the Mediterranean now shine brighter in the eyes of cautious vacationers.