The US Government shutdown, now in its tenth day, has cost the country an estimated US$1.2 billion in travel dollars, according to the US Travel Association. The organisation is tracking the economic repercussions through its real-time cost ticker, with the financial burden expected to continue growing each day.
Airports across the US are grappling with staffing shortages amid the government closure, leading to delays and a reduction in the number of flights. According to American news reports, a growing number of federal airline workers – who do not get paid during the shutdown – have called in sick.
“This shutdown is doing real, irreversible damage,” said Geoff Freeman, President and CEO of the US Travel Association. “Travellers are facing longer TSA lines and flight delays.”
“Airports are reducing flights and we’ve seen entire control towers go dark. The longer this drags on, the worse the cascade of damage will be – for local communities, for small businesses and for the country.”
“Congress needs to act now and reopen the government,” Freeman urged.
The blow to America’s travel industry comes after research earlier this year from The World Travel & Tourism Council (WTTC) revealed the country was already on track to lose US$12.5b in international visitor spending this year – a 22.5% decline compared to the previous peak.
WTTC President Julia Simpson criticised the approach the US has taken to tourism in 2025, suggesting that while other countries are rolling out the welcome mat, the US Govt is “putting up the closed sign”.
“Without urgent action to restore international traveller confidence, it could take several years for the US just to return to pre-pandemic levels of international visitor spend, not even the peak from 10 years ago,” Simpson warned
