Travel Trends Report for May 2025
Outbound travel from Australia to the United States has decreased for the first time in months, while travel to Asia continues to rise, as reported by the Australian Travel Industry Association (ATIA) in their latest trends review.
Key Highlights:
- Outbound travel reached 12.05 million, a 12.1% annual increase, largely fueled by strong growth in Asian destinations.
- Travel to the USA saw a 6.2% decrease in April 2025 compared to the previous year, despite the overall outbound travel growing by 8.3% during the same time.
- Prominent destinations gaining attention include Vietnam ((+28.5%), Japan (+17.0%), and China (+12.7%).
- Japan recorded the highest annual increase at 33.8%, trailed by China (26.9%) and Vietnam (25.0%).
- Leisure travel constitutes approximately 60% of all international journeys, while visits for familial connections peaked at 34.8% in February 2025.
- Australia welcomed around 8.36 million international arrivals, representing a 6.7% increase from the prior year, led predominantly by China (+23.4%), Japan (+12.9%), and South Korea (+11.9%).
- In April 2025, international arrivals grew by 8.1%, evidenced by notable spikes from the UK (+39.5%) and China (+27.1%). Yet, a slight downturn was observed in arrivals from several Asian markets, such as Indonesia, Japan, and Malaysia.
Airline Performance:
- Qantas Airways maintained a lead in international market share, carrying 528,000 passengers, representing 15.8% of market share through February 2025. Additionally, Jetstar and Singapore Airlines also saw growth in their respective passenger counts.
CEO Insights:
Dean Long stated:
“We’re witnessing a clear decline in travel to the USA from Australians, with a 6.2% drop in April 2025 compared to last year’s figures, even as other outbound travel remains on the rise.”
“The ongoing demand from holidaymakers reflects their desire for international experiences, especially throughout Asia. Australians are prioritizing their leisure travel above all else.”
“Understanding and adapting to these shifting trends is essential for a resilient travel sector that can adapt to evolving consumer behavior.”
“We recommend that Australians book through ATIA Accredited travel businesses to ensure they receive expert guidance and assurance.”
