President Donald Trump’s latest tariffs may not only affect imports from Canada and Mexico but also those planning vacations abroad. According to The Independent, international travel is slated to dip by 5 percent this year. Factors like tariffs, the proposed handling of Russia’s invasion of Ukraine, and Trump’s threats to annex Greenland and Canada to the United States are projected to contribute a predicted $64 billion in losses for the U.S. travel industry in 2025, according to Tourism Economics.

According to Steven A. Carvell, professor of finance, Cornell University, business travel will probably take the largest hit first. A trade war could impact the supply chain, creating effects further down the line on the travel industry, such as on aircraft manufacturers.

Travel fares to Canada and Mexico might also increase, while fewer flights will be available to these destinations. That said, tariffs can also strengthen the U.S. dollar down the line, benefitting American travelers.

Carvell also told USA Today he anticipates Americans traveling abroad may encounter a less-welcoming reception from people in other countries. In a March 5 survey from Canadian polling firm Leger, 60 percent of Americans surveyed said they considered Canada an ally, while 31 percent of Canadians said the same about the United States.

Most U.S. leisure travelers, however, will likely not see any immediate changes. The same may not be said for international travelers, especially Canadian travelers. Another Leger survey noted 16 percent of Canadian respondents already canceled trips to the United States, compared to just 1 percent of Americans canceling trips to Canada. Air Canada announced it would reduce service to multiple U.S. cities.

Travel industry workers expect a drop in cross-border business travel. This is where leisure travelers could possibly see changes, as airlines and hotels may be forced to increase rates and fares while decreasing flights.

What are your thoughts on these possible effects? Do you anticipate any effects in the coming months or years? Have you experienced any already? Do you think these tariffs will benefit or harm the travel industry in the long run? Email us at letters@globaltravelerusa.com. Please include your full name and location.