Following President Donald Trump’s stringent border policies and other divisive government actions, there has been a surprising uptick in travel from Australia to the US.
According to newly released data from the Australian Travel Industry Association (ATIA), travel from Australia to the US rose by 4.8% year on year, with an 8% increase in May 2025 compared to May 2024.
The Australian Bureau of Statistics (ABS) reported growth across various travel categories, including a 12% increase in holiday trips, a 15% rise in visits to friends and family, and an 8% boost in business travel. This marks a notable recovery compared to April, which saw a 6.2% decline.
On the flip side, trips from the US to Australia dipped by 3.7% in May, although there was a slight 0.6% gain over the past year.
“While the US remains a popular destination for outbound tourists, the subdued inbound figures reflect the ongoing challenges in achieving a balanced tourism recovery,” said the ATIA compliance and membership director.
Australia Travels to the US
The US continues to trail behind destinations like Bali, Japan, and Vietnam in terms of Australian preferences for overseas travel.
ATIA’s recent data indicates a 12.5% rise in outbound travel for the year ending in May 2025, largely driven by a robust interest in Asian destinations.
Notable increases were seen in Indonesia (Bali) up by 16.3%, Japan up 32.4%, Vietnam up 25.8%, and China up 26.9%.
“Asia continues to be a favored haven for Australian travelers, with Bali, Tokyo, and Ho Chi Minh City leading the travel itineraries of millions,” Hedges noted.
Japan, in particular, has witnessed a surge in visitors thanks to expanded flight options and increased regional strength, offering a wealth of accommodation, dining, and shopping opportunities.
“My love life with the US in Australia could be slowing down.”
Graham Turner, founder and CEO of the Flight Centre, mentioned that for the first quarter of 2025, leisure bookings from Australia to the US had decreased by about 12-15% compared to the previous year, while business travel remained stable.
He had expected that leisure and business trips would not ramp up significantly in April, May, and June. The June figures are still pending.
On another note, Finder’s personal finance expert Sarah Megginson observed that past hostility and current political perceptions may influence Australian views on travel to the US.
She cautioned travelers to thoroughly check their travel insurance policies before heading to the US, as many insurers might not cover denials of entry at the border.
Reports have surfaced of travelers being denied entry upon arrival, with some even facing searches and detainment due to the US’s stringent immigration policies.
“With tensions rising in the US, Australians are reconsidering their trips there,” Megginson mentioned in June. “There’s a growing belief that potential issues during a visit might overshadow the allure of some favorite cities.”
A personal anecdote: my husband just returned from a week in Los Angeles and noted a stark contrast from his previous visit, encountering intense scrutiny about his travels and reason for traveling alone.
“It felt like a really unwelcoming experience. If travelers are treated like suspects at the border, they might just opt to spend their money elsewhere,” he added.
Interestingly, research from Finder indicates that older Australians appear less deterred by the current US political climate and may even be traveling there more bravely than before.
Lee Burns, the US managing director for Finder, indicated that his focus is on promoting domestic travel within the US during this time and ensuring that the right products are available at the right time.
Canadians Visiting Plummet, USA
According to the US International Trade Agency, visitors from other nations are increasingly hesitant to travel to the US, particularly Canadians, once the largest market for international visitors. There has been a significant drop in Canadian visitors in 2025 compared to previous years.
Travelers from countries like China, South Korea, and Germany are also showing a decline in numbers.
The downturn in Canadian visits follows Prime Minister Justin Trudeau’s February statements urging Canadians to avoid spending in the US, criticizing tariffs and labeling Canada as the “51st state.” He maintained this stance until he took office in April.
A majority of Canadians who previously planned trips to the US reported that the announcement of tariffs influenced their decisions, with more than half (56%) now choosing to travel elsewhere.
Tourism Economics noted a considerable drop in international arrivals to the US in 2025, projecting a $13 billion (4.7%) decline in spending by foreign visitors compared to the previous year.
Travel Data Company reports suggest that factors contributing to this negative outlook include the Trump administration’s policies and decisions, including tariffs affecting longstanding trade partners.
