Impact of U.S. Government Actions on Business Travel
The survey indicates that U.S. policies have created substantial uncertainty among both global travelers and businesses. Many international companies are concerned about the heightened risk of detainment and travel disruptions, particularly to and from the United States. As a result, the GBTA predicts that these factors will lead to a decline in spending and a reduction in the overall volume of business travel.
Decline in Travel Volume and Spending
The poll’s findings suggest that almost 29% of global travel buyers expect a 21% decline in business travel volume for their companies in 2025. Additionally, around 27% of buyers predict a 20% decrease in business travel spending, which could potentially represent a drop of up to $88 billion USD from the global business travel market, currently forecast to reach $1.63 trillion USD. The impact of these policies is evident, with only 44% of buyers expecting their business travel volume to remain unaffected, while 19% remain uncertain about the future.
Concerns About Travel Restrictions and Safety
The GBTA also highlighted that travel suppliers and travel management companies (TMCs) are feeling the effects, with 37% of suppliers predicting an 18% decrease in related revenue. The survey revealed concerns not only about economic pressures, including higher business travel costs and potential budget cuts, but also about increased administration needs related to visas and other travel documentation. These changes are putting additional strain on businesses trying to maintain efficient travel operations.
Furthermore, concerns about employee willingness to travel to the U.S. are growing, with 37% of respondents noting that safety and duty of care are becoming major issues in the context of the evolving travel environment.
Relocation of Meetings and Events
The survey also revealed that many companies are reconsidering their presence in the U.S. for meetings and events. 14% of respondents have already relocated meetings or events outside the U.S., while 6% are considering such action in the near future. This shift reflects a broader trend, with companies seeking alternatives to U.S.-based meetings as the policies create increasing barriers to cross-border travel.
Industry Outlook: A Mixed Picture
While the outlook for business travel in 2025 was initially positive, the GBTA’s latest findings show a decline in optimism, with only 31% of global industry professionals remaining positive about the future. This marks a significant drop from November 2024, where 67% of respondents had a more optimistic outlook for the year ahead.
In conclusion, the U.S. government policies are having a significant impact on the global business travel market, with declining spending, reduced travel volume, and increased uncertainty. As businesses navigate these challenges, the GBTA emphasizes the importance of adaptability and strategic planning in maintaining effective global travel operations.
Tags: U.S. border restrictions, U.S. travel policies, Global Business Travel Association GBTA
