Long a bright spot, the industry is poised to post a trade deficit for the first time this century
The travel and tourism industry, which accounts for about 3% of the U.S. GDP, has long been one of the economy’s most robust sectors, particularly when it comes to trade: The U.S. had posted a trade surplus in travel every year this century. Until this year.
A drop in foreign visitors to the U.S. caused the real value of exports of travel services to fall at a 7.8% annual rate in the first quarter, according to the GDP report released Wednesday. The U.S. Travel Association says the United States is now running an annual travel trade deficit of $50 billion, compared with a $3.5 billion surplus in 2022.
“This presumably reflects increased hostility by many foreigners to the U.S., as well as fear of harassment by ICE officers,” Dean Baker, senior economist for the Center for Economic and Policy Research, wrote in his note reviewing the first quarter GDP numbers. “We will likely see further declines in future quarters, especially among students coming to study in the United States.”
So, did travel work for my job. Driving long distances was a normal thing, company van.
Had to go to corporate for a training thing. After that, to get home and flying, took me 14 hours. The drive is 12.
Next time I had to get to corporate, company tried to get me a plane ticket and I refused, each time boss tried any reasoning it was responded with “14 GODDAMN HOURS!” I got to drive.
I like flying… as in the act of flying. But I refuse to fly anywhere in a 12 hour driving radius because the entire song and dance before and after I have found maybe I save an hour or two… and I am FAR LESS in a murdery mood.
Frankly over a 12 hour driving distance I still start looking at logistics.