Say Goodbye to Trump-Fueled Vacations: US Tourism to Take a Hit in 2021
Tourism Sector in China Experiences Decline Amidst Ongoing Challenges
The tourism industry worldwide has been battered by crises and conflicts, but none more so than China. Germany, for one, has seen a drop in tourists heading to the People's Republic. However, the US remains an exception, with travel increasing from major German airports like Frankfurt and Munich, defying the expected "Trump effect."
But let's not hold our breath, because experts predict a dramatic change in US travel patterns very soon.
America's International Appeal Starts to Fade: US-China Trade agreement, Tourism Suffers
At the moment, the tourism industry hasn't shown any clear signs of the Trump effect in Germany. Munich Airport counts nearly 37,000 more passengers on US flights from January to May compared to last year, reaching approximately 1.2 million. Frankfurt, too, experienced a growth of 7,600 passengers to 944,300 in the first four months (excluding May).
However, it's a no-brainer in the industry: the Trump administration's policies have been unfriendly to tourists, and the second term is expected to exacerbate this trend. The World Tourism Organization (WTTC) in London, together with Oxford Economics, estimate losses of over $12 billion for the US in 2021 from fewer foreign travelers.
A Brighter Future? Not for US Tourism
The number of passengers on flights to and from Munich and Frankfurt has already dropped this year. Munich saw a decrease of around 1,300 passengers to around 203,000 in the first five months. Frankfurt's passenger count dwindled to 180,300 in the first four months, a decrease of 27,000 compared to the previous year. Part of the reason for the decrease can be traced back to reduced flight offerings, as well as fewer passengers on China routes compared to 2019.
Trump's Legacy of Travel Bans and Economic Impact on US Tourism
President Trump's administration imposed travel bans on 19 countries, impacting various visa categories, including tourist, student, and immigrant visas. This reduced the number of visitors from these countries and led to billions in lost revenue due to reduced tourism spending on accommodation, food, transportation, entertainment, and other travel-related services. The exact figures vary depending on the source, but estimates put revenue losses in the tens of billions annually due to Trump's travel bans and other travel deterrents.
In short, the Trump effect on US tourism signaturely manifested through:
- Extensive travel bans on 19 countries, decreasing foreign tourist inflows due to visa restrictions.
- Resulting in billions of dollars in lost revenue due to reduced tourism spending.
This combination of travel bans and visa restrictions contributed to a significant decline in foreign traveler numbers and associated economic impacts during Trump's tenure.
- Despite the increase in US travel from Germany in 2020, defying the anticipated "Trump effect," experts predict a substantial drop in US travel patterns due to the unfriendly policies towards tourists under the Trump administration's employment policy.
- The ongoing trade agreement between the US and China is impacting the global tourism industry, and the second term of the Trump administration is expected to further exacerbate this trend, resulting in losses of over $12 billion for the US in 2021 according to the World Tourism Organization (WTTC) in London, together with Oxford Economics.
- The Trump administration's travel bans on 19 countries, including tourist, student, and immigrant visas, have reduced the number of visitors from these countries, leading to billions of dollars in lost revenue for the US tourism industry due to reduced spending on travel-related services like accommodation, food, and entertainment.
