U.S. President Donald Trump launched significant reforms and drastic measures at the start of his second term, creating turmoil in the country. His new political decisions, which include extensive immigration restrictions, trade tariffs, and the dismissal of thousands of government employees, could have substantial economic and social consequences. These changes are also likely to impact the tourism sector significantly.
In particular, tightening visa requirements may result in a decline in the number of visitors to the United States, potentially harming the tourism industry.
Canadians significantly affected by U.S. customs measures have begun to respond with travel boycotts. According to Lorn Sheehan, a professor specializing in tourism at Dalhousie University, Canadian tourists' decision not to travel across the border could have a significant economic consequence on U.S. states such as Maine, Florida, California, and Arizona. Last year, 20.4 million Canadians visited the United States, according to data from the U.S. Travel Association, an organization focused on promoting travel to and within the country.
According to the U.S. Travel Association, a 10 percent decrease in Canadian tourists could lead to a loss of over two billion dollars and the loss of 14,000 jobs.
Uncertainties in the Hospitality Industry
The U.S. leisure and hotel industry, which employs approximately 10 percent of the country's workforce, faces challenges due to political uncertainty. International business travelers increasingly choose to avoid the U.S., leading to a significant decline in foreign participants at major trade fairs such as the CES in Las Vegas. Experts also warn that more stringent immigration laws, particularly concerning work visas, could further pressure the hotel and restaurant sectors, which are already grappling with a staff shortage.
The Aviation Industry under Pressure
Aviation is currently facing significant challenges due to several fatal plane crashes and a declining public perception of safety. Despite staff shortages in air traffic control, President Trump has laid off hundreds of employees at the U.S. Federal Aviation Administration (FAA) and dismissed the heads of the Transportation Security Administration (TSA) and the Coast Guard. Additionally, abolishing the U.S. Aviation Security Advisory Committee raises concerns about future aviation security.
LGBTQ+ Travelers Are Concerned
The U.S. government has suspended the gender marker "X" for non-binary people, making international travel more difficult. In addition, some U.S. states are considering enforcing laws that could force transgender people to use bathrooms according to their birth gender—a risk, especially at airports.
Impacts on Road and Rail Traffic
Trump's threatened punitive tariffs on Canadian oil could increase gasoline prices by as much as 15 cents per gallon, making car travel more expensive. Additionally, he has halted a billion-dollar subsidy program for electric vehicle charging stations.
Those considering a switch to rail travel may also encounter difficulties. Cuts in funding for Amtrak and high-speed rail projects could limit train services and lead to higher ticket prices. Critics worry that increased privatization of rail infrastructure could make travel less accessible for passengers. The outlook of the travel sector is, according to experts, quite bleak.