Navigating Travel in the Trump Era: What to Expect

The prospect of Donald Trump’s reinstatement in the White House left many travel leaders pondering what a second Trump administration would entail for the sector, a topic we investigated in one of Skift’s 2025 Megatrends.

As Trump has already commenced issuing a series of executive orders that could greatly influence travel, we consulted our answer engine, Ask Skift 2.0, to delve deeper into the repercussions of those orders for the industry. We also conducted further reporting regarding the subject.

Insights from Ask Skift

The recent measures and executive orders enacted by the Trump Administration might carry considerable ramifications for the travel sector. It is anticipated that President Trump’s strategies will affect several critical areas:

Stricter Border Regulations: The administration is indicating a transition towards more rigorous cross-border regulations, which could result in prolonged wait times for visas and heightened scrutiny for travelers. Such changes might suppress demand for trips to the U.S. and have implications for both business and recreational travel.

Federal Employment Freeze: A freeze on hiring, with exceptions for positions concerning national security and public safety, may result in workforce shortages within travel-related federal positions. This could prolong the processing times for passports and visas, possibly dissuading inbound tourism.

Enhanced Vetting and Travel Restrictions: Trump is contemplating reinstating a travel prohibition akin to the one from 2017, which specifically affected several Muslim-majority countries. Such actions might influence international relations and perceptions of the U.S., thereby impacting tourism from the regions affected.

Trade Regulations: New trade policies could lead to elevated import prices and potential retaliatory actions that impact the travel sector’s supply chains, possibly increasing expenditures for travelers and within the hospitality industry.

Environmental and Health Policies: The choice to withdraw from the Paris Agreement and the World Health Organization might alter the attractiveness of the U.S. for environmentally-conscious travelers and those concerned about global health matters. This could lead to a potential decline in inbound tourism and affect how U.S. destinations promote themselves internationally.

Delay of TikTok Ban: The postponement of enforcing a ban on TikTok permits travel marketers and content creators to continue utilizing the platform for promotional purposes, essential for engaging a broad audience.

Gender Marker Policy: The prohibition of the ‘X’ gender marker on passports might impact non-binary and transgender travelers, affecting their decision to visit the U.S., particularly for occasions such as World Pride 2025.

In summary, these policies imply a shift towards more isolationist and protectionist strategies, which could present difficulties for an industry dependent on open borders and international goodwill. The travel sector may have to adjust its marketing techniques and operational methods to accommodate these changes.

Additional Information You Should Consider

Stringent Visa Rules: During the initial Trump administration prior to the pandemic, the issuance of visitor visas experienced a consistent decline—from 6.3 million in 2017 to 5.4 million in 2019, as reported by the State Department.

A significant concern would be a reversion to more stringent visa policies, which could hinder the U.S. tourism boom as the nation aims to allure 90 million visitors by 2026, a year ahead of expectations. Furthermore, stricter visa regulations could complicate the efforts of many overseas fans to attend the 2026 FIFA World Cup, which the U.S. will co-host alongside Canada and Mexico.

Flexible Approach to Business: The Biden administration was known for its stringent stance on mergers and business operations. Earlier this month, Biden’s Transportation Secretary Pete Buttigieg informed Skift of his desire to maintain healthy competition within the airline industry.

Additionally, the practices of imposing hefty fines and strict regulations on airlines may not prevail in a second Trump administration. Airlines Reporter Meghna Maharishi noted that Republicans in Congress have started re-evaluating the Federal Aviation Administration’s methods for penalizing companies like SpaceX, which the FAA fined $633,009 for breaching the conditions of its launch licenses on two separate occasions.

Potential Tax Reductions for Hotels: Trump campaigned on the promise to extend significant business tax provisions from the Tax Cuts and Jobs Act of 2017, which were scheduled to expire by the end of the year. Two representatives from the hotel sector conveyed to Skift this month that businesses might witness a 33% tax increase if these provisions are allowed to lapse.

These representatives expressed hope that the Trump administration would make a 20% deduction for small businesses on income derived from business operations permanent. More than half of the nearly 64,000 hotels in the nation are designated as small enterprises, according to the American Hotel & Hotel Lodging Association.

Sustainability Challenges: Marie Owens Thomsen, chief economist for the airline trade association IATA, stated to Reuters that Trump’s return to the White House might jeopardize the growth of sustainable aviation fuel. Trump has pledged to repeal the 2022 U.S. Inflation Reduction Act, which encompassed tax incentives for green jet fuels.

Trump has previously signed an executive order withdrawing from the Paris Agreement, a move he had threatened to make before assuming office. However, since the majority of U.S. travel entities support the objectives of the Paris Agreement—which encourages member nations to cut emissions from travel and tourism by 50% over the next decade and achieve net zero by 2050—there have been no requests from companies within the travel industry to exit the agreement.