Strong Summer 2025 Travel Outlook Amidst Economic and Political Uncertainty
The travel outlook for summer 2025 is still uncertain; however, our airport partners are not expecting any drastic change in passenger traffic at this time. Authorities in Dallas, Orlando, and Pittsburgh say that the reported economic uncertainty hasn’t yet impacted their passenger projections, and they still expect a ‘robust’ summer travel season. According to Deloitte 53% of Americans are planning to take a vacation this summer, up from 48% in 2024. Houston airport authorities predict 19.5 million people will fly through IAH and Houston between the Memorial and Labor Day holidays, an increase of a quarter million passengers over 2024.
International arrivals to the US are expected to decline slightly this year, in part due to political unpredictability however, domestic travel is surging with over 68% of Americans planning on staying domestic this summer. Amongst the top 5 domestic destinations this summer, Miami and Orlando consistently make the list, meaning that there will likely be an influx of passengers travelling through Miami International Airport and Orlando International Airport as key gateways into their respective cities.
Outbound international corporate travel from the U.S. is also resilient; according to Flight Centre, outbound bookings are showing increases in key markets, including some in the double digits. Year on year, markets with a rise in bookings include South America (+53%), the UAE (+52%), Italy (+31%), Brazil (+17%), the UK (+7%), and Japan (+6%).
Research shows that summer travel budgets have shrunk for summer 2025; however, trip frequency has increased to an average of 3.1 compared to 2.3 in 2024. As a result of shrinking travel budgets, there has been a decrease in prices of international flights and hotels, enticing undecided travelers to make the most of lower travel costs and possibly boosting outbound international travel. Kayak notes that flights are cheaper by 11% to Asia, 8% to Europe and 5% to Africa compared to last year.
According to Skyscanner, 64% of Americans have yet to book their summer vacation – 39% are actively looking and 25% have not started planning yet, creating the perfect opportunity for airlines to get ahead of their competitors.