Europe’s largest package holiday operator, Tui, says tougher U.S. border rules are discouraging European travelers from visiting the country. Chief executive Sebastian Ebel revealed there had been a “significant decline” in trips to the U.S., citing factors such as “the atmosphere” and experiences reported at U.S. border control. As a result, many tourists are choosing destinations like Canada, Africa, and Asia instead. The shift comes at a time when the U.S. tourism industry is already under pressure, with government policies blamed for a sharp drop in visitor numbers and billions in lost revenue this year.
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Reports of Detentions and Deportations Fuel Concerns
Ebel’s comments follow a series of reports involving European and other foreign visitors facing intense questioning, detainment, and deportation at U.S. entry points despite holding valid visas. Recent incidents include a British tourist, three Germans, a Canadian, and an Australian, each being held before being deported. In another case, Sarah Shaw from New Zealand, who resides in the U.S., and her six-year-old son were detained while crossing from Canada into the United States. These events have raised fresh concerns about how tourists are treated at the border and whether this is deterring potential visitors.
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Trump Administration Plans New Visa Fees and Bonds
The Trump administration is preparing to introduce new charges for certain tourism and business visas, including bonds of up to $15,000 and a $250 “visa integrity fee” for visitors. When asked about these planned changes, Ebel commented: “I expect that the impact will be seen, and this policy will change. Will it change in three months? Will it change in three years? I have no idea.” Tourism operators fear such measures will add to the deterrents already keeping visitors away from the United States.
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Tourism to the U.S. Sees Sharp Decline
Tui’s statement comes as recent data highlights a steep drop in overall travel to the U.S. in recent months. According to the U.S. Travel Association, travel from Canada and Mexico in 2025 has fallen by 20% compared with the previous year. Industry estimates suggest the tourism sector will lose billions of dollars in revenue due to the combined effects of border policies and other government actions. While acknowledging the decline, Ebel stressed that the U.S. market was “not of the essence for us. It’s a nice long-haul business, good margins, but it’s not in the order of magnitude, not a big thing.”
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Call for Seamless Travel Between Key Markets
Ebel emphasised that travellers prefer destinations offering “seamless travel” and urged improvements in UK–EU travel arrangements. Although British visitors can use e-gates, they must still get their passports stamped until at least October because of post-Brexit restrictions. Ebel remarked, “I’m so happy that there’s seamless travel for me as a German, to Spain, to Greece. I would wish that it would be the same seamlessness to the UK. It’s not seamless, and that’s not good for the UK, and it’s not good for Europe either.”
Impact of Global Conflicts and Heatwaves on Travel
Tui reported a 2% fall in summer bookings, attributing it to conflict in the Middle East. However, ticket prices were 3% higher, helping to offset increased operating costs. Additionally, a summer marked by severe heatwaves across Europe and ongoing extreme temperatures in regions such as south-west France, Croatia, Italy, and Spain has prompted more travellers to shift their plans. Many are now booking trips outside of the traditional summer peak, favouring what the industry calls the “shoulder season,” typically March–May and September–October.
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Positive Outlook Despite Seasonal Shifts
Ebel said the growing trend of customers travelling outside school summer holidays is boosting Tui’s resilience. The company sees this as an opportunity to maintain demand throughout the year instead of concentrating it in a few months. This shift, combined with strong interest in its hotels and cruise offerings, has supported a better-than-expected performance. Tui raised its full-year profit guidance on Tuesday, sending its shares up more than 6% in market trading.
Financial Performance Exceeds Forecasts
For the April-to-June quarter, Tui reported an underlying pre-tax profit of €321 million (£277 million), beating analysts’ expectations and marking a 38% increase compared with the same period last year. The late timing of Easter contributed to the strong results, along with healthy margins in several key travel segments. The improved performance underscores Tui’s ability to adapt to shifting travel patterns despite external challenges such as border policies, geopolitical tensions, and climate-related disruptions.