Transatlantic Airfares Hit as West Europeans Skip US

Airfares from Europe to the US have dropped to rates not seen since before the Covid-19 pandemic, as travelers from Western Europe lead a pullback in travel to the US that is expected to continue through at least July.

- NEW YORK/LONDON

NEW YORK/LONDON -

Overseas arrivals to the US fell 2.8 per cent in May from a year ago, according to preliminary data from the US National Travel and Tourism Office (NTTO) within the US Department of Commerce.

Travel from Western Europe fell 4.4 per cent in May, although travel from Eastern Europe rose 4.6 per cent in the same period.

Forward bookings suggest sustained declines are on the horizon, with total inbound bookings to the US in July down 13 per cent year on year, according to OAG Aviation, an analytics firm.

Transatlantic airfares have been declining since the first quarter when Europeans started reconsidering travel to the US after President Donald Trump suggested annexing Greenland, launched a global trade war and issued orders that focus on stricter border policy.

A stronger US dollar has also deterred some trips.

In March, travel from Western Europe fell 17 per cent year on year, according to the NTTO.