Decline in Australian Travellers Visiting US Sparks Shift in Destination Preferences
In March 2025, Australian arrivals to the US decreased by 7 percent, with a decline of 4,559 compared to the same month last year, as per new US trade data.
Safety concerns and the weak Australian dollar are influencing Australians to reconsider their travel plans to the United States.
The latest data from the U.S. International Trade Administration indicates a 7 percent drop in Australian arrivals in March 2025 compared to the previous year, amounting to 4,559 fewer visitors.
On April 7, the Australian dollar reached a low of US59.15 cents, the lowest point since the pandemic peak, affected by global tariff concerns.
Data from the Australian Bureau of Statistics suggests that more Australians are opting to travel to Asian countries due to shorter flight times and the relatively stronger Australian dollar.
The number of short-term travelers to Japan in February 2025 nearly doubled (194 percent) compared to the same period in 2019.
Other countries like Indonesia, India, Thailand, and Vietnam are also witnessing an increase in Australian visitors, possibly due to a higher number of residents from these countries settling in Australia and returning to visit family.
New Zealand remains the top destination for Australians, followed by Indonesia, Japan, India, and China. The United States, previously the third most popular destination in 2019, has now dropped to eighth place.
Australian Economy
Australia’s currency has also weakened against several other major currencies, with analysts attributing the decline to concerns regarding China’s economic outlook.
Given that China is Australia’s primary trading partner, any disruption in this relationship could have significant consequences. In 2023, exports to China equaled $219 billion, representing 32.5 percent of Australia’s export market.
China has faced substantial U.S. tariff increases, with some duties soaring to 125 percent. In retaliation, Beijing has imposed tariffs of up to 84 percent on U.S. goods.
The combination of economic pressures and diplomatic tensions is reshaping global travel patterns. For Australians, the United States is losing its appeal due to financial and political factors.
Safety concerns and changes in the political environment may also be contributing to this shift.
Australian comedian Alice Fraser canceled a planned tour after legal advisors cautioned her that her past satire of President Donald Trump could lead to potential issues.
Global Drop
The decrease in travel is not limited to Australia.
Several countries, including Colombia (-33 percent), the Dominican Republic (-32 percent), Germany (-28 percent), Ireland (-27 percent), Spain (-25 percent), Ecuador (-25 percent), South Korea (-15 percent), the UK (-14 percent), and France (-8 percent), have all experienced significant declines in international arrivals.
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Overall, there was an 11.6 percent decrease in international arrivals to the U.S. in March.
This sharp decline contrasts with earlier forecasts for the year. Tourism Economics had initially predicted an 8.8 percent growth in inbound travel to the United States in 2025.
The group now anticipates a 5.1 percent decline, citing “tariff-induced” exchange rate fluctuations and escalating diplomatic tensions as major factors.
Various nations, including Germany, Denmark, Finland, Portugal, Canada, and the UK, have issued updated travel advisories for the United States since January.
Some advisories explicitly mention social unrest, gun violence, and border uncertainties.
Canadian travelers, in particular, seem to be steering clear, with a 20 percent decrease in February figures.
Rebecca Zhu contributed to this article.
