Americans Are Vacationing This Summer, But Tariff Worries Mean They’re Cutting Costs

The majority of Americans are eager to take a summer vacation this year, even if they have to plan a cheaper trip to adjust for potential tariff-related inflation.

Travel rates have continued to hit record highs after COVID-19 pandemic restrictions lifted years ago. In fact, travel is up by 19% since 2022, and about half of consumers say travel is more vital now than it was five years ago, according to a survey by Expedia Group.

However, President Donald Trump’s back-and-forth tariffs have worried many consumers, who are unsure of their economic impact. Yet even with so much uncertainty, 88% of consumers are still planning a vacation, Expedia found.

Travel Is A Priority, But So Is Cutting Costs

While consumers are still willing to spend money on on a summer trip, almost six in 10 consumers expect to be more price-conscious while traveling this year, according to Expedia Group.

A March Deloitte survey found that travelers planned to spend 21% more on travel this summer than last year. However, that number shrank to 13% when consumers were surveyed in April, the month Trump’s widespread tariffs went into effect.

“Travelers appear eager to embark on their summer trips, but pricing pressures and economic influences are expected to chart the course for how they get there,” said Kate Ferrara, vice chair and U.S. transportation, hospitality and services sector leader for Deloitte, in a press release. “By swapping flights for road trips or planning shorter, budget-friendly adventures, travelers are likely seeking value while making memories.”

To achieve budget-friendly vacations, more travelers are favoring shorter, more frequent escapes over one big trip. In addition, 33% are planning to stay at budget hotels, 30% will stay with family and friends, 20% will pick cheaper airfare, and 22% will drive instead of fly, according to Deloitte.

Many are also blending work trips with leisure for a cheaper “bleisure” or “flexcation” trip, according to Expedia Group. This year, almost a quarter of travelers plan on working remotely while on vacation. Compromising in this way has allowed increasingly more travelers the opportunity to take longer trips to international destinations, according to Deloitte.