Airline ticket price cuts have sparked a wave of US Independence Day travel! The volume of international flights such as United Airlines (UAL.US) increased by 5%

The Zhitong Finance App learned that tourism data shows that the number of travelers during the US “Independence Day” holiday will reach a record high, but many travelers planning temporary itineraries said that their plans depend on whether they can get cheap tickets. Instead, international routes have become a more cost-effective option this year.

Due to a decrease in European travelers to the US (partly due to the tightening of border controls and the influence of Trump's policies), airlines have lowered ticket prices. Currently, the average price of international routes has dropped significantly compared to the same period last year. According to data from the travel booking app Hopper, air ticket prices in the US fell 3% year on year during the holiday period, while European and Asian routes fell 13%.

About ten travel agencies revealed that ongoing discounts are driving some customers to Europe, while tourists left behind in the US give priority to choosing destinations they can reach by car.

Travel agency owner Laurel Brunoville pointed out that since ticket prices have not skyrocketed like the previous two years, there has been a marked increase in the number of customers temporarily booking European trips. “Last year, some guests did not hesitate to spend nearly $3,000 to go to Portugal in economy class. This year, economy class prices fell back to the normal range of $875 to $1,500.” She gave an example.

The American Automobile Association predicts that 72.2 million people will travel more than 50 miles (80 km) during the eight-day holiday period, an increase of 1.3 million road passengers and 80,000 air passengers over last year, setting a new record.

The differentiation of consumption strategies

Tourism companies said that despite inflation and economic concerns, people are still very willing to travel, but they are polarized: those with sufficient funds choose long-distance flights, while those with limited budgets prefer short trips or self-driving trips.

According to Hopper data, the average price of a hotel in the US on Independence Day weekend was $213 per night, down 8% from $232 in 2024.

United Airlines (UAL.US) expects the 10-day holiday passenger numbers to increase by 500,000, with international bookings increasing 5% year over year. Competitor American Airlines (AAL.US) expects a 5% increase in passenger traffic over the same period.

Vrbo, a subsidiary of the online travel platform Expedia (EXPE.US), said that temporary reservations increased 15% this year, and more people only finalized their itineraries one month before departure. Travel agency owner Christie Slawick pointed out that families that temporarily book cruises, all-inclusive resorts, and air tickets are often shocked by the high prices.

Melissa Newman from the industry added that many tourists are coping with cost pressure by adjusting their strategies, and “switching to cruise ports instead of flying” has become a money-saving trick to cope with the surge in cruise demand.