The World Travel & Tourism Council (WTTC), which represents the global travel and tourism industry, today released its latest economic modelling, which predicts that U.S. travel and tourism will rebound strongly this year, contributing $2 trillion to US GDP and surpassing pre-pandemic levels by 6.2 percent.
Following gradual improvements in the sector in 2021, news of the strong rebound symbolises the welcome return of one of the world’s most important economic drivers after nearly two years of turmoil.
“Our current projection sees the recovery ramping up dramatically this year as infection rates decline and passengers continue to benefit from the vaccine and boosters’ protection,” said Julia Simpson, president and CEO of WTTC.
“We predict a welcome release of pent-up Travel & Tourism demand as travel restrictions ease and consumer confidence returns. This, together with what we expect will be a strong consumer-led economic rebound, gives the industry a positive outlook.”
WTTC AND OXFORD ECONOMICS EXPECT A STRONG Retrieval OUTLOOK
According to WTTC and Oxford Economics projections, the sector’s contribution of nearly $2 trillion to the US economy could outperform 2019 levels ($1.87 trillion) by more than 6% if vaccine and booster rollout continues at its current pace and restrictions on international travel continue to be eased around the world across the year. Other discoveries include:
- Domestic travel and tourism spending in the United States is expected to exceed $1.1 trillion this year, up 11.3 percent over pre-pandemic levels.
- International traveller expenditure in the United States is expected to increase by $113 billion this year, to over $155 billion, slightly below (14%) 2019 levels.
- Employment in the sector might also exceed pre-pandemic levels, reaching about 16.8 million jobs, an increase of 200,000 jobs above pre-pandemic levels.
“The good news is that our outlook sends a clear message: If the right conditions exist, the Travel & Tourism sector may revive and provide economic and employment gains that haven’t been seen since before the epidemic,” Simpson said. “We urge world leaders to think about the economic and job benefits of strengthening consumer confidence by allowing fully vaccinated passengers to travel freely.”
A CONNECTED STUDY EXPECTS A STRONG SECTOR RECOVERY IN 2022.
Inbound reservations to the United States soared by 212 percent over the Easter holiday last year, according to new statistics from ForwardKeys, the premier travel data and analytics company and WTTC’s knowledge partner. Similarly, according to the most recent data, overseas arrivals to U.S. destinations will increase by 130 percent during the lucrative Easter season compared to 2021 levels.
Strong U.S. travel sales are expected to continue into the summer, with a 58 percent increase in bookings this year. Summer inbound international bookings are expected to be 87 percent higher than pre-pandemic levels.
In 2019, travel and tourism contributed 10.4% of global GDP and supported over 330 million jobs. WTTC advises governments throughout the world to continue focusing on vaccination and booster rollout – as well as allowing fully vaccinated tourists to travel freely without the requirement for testing – in order to get near to pre-pandemic levels this year.
Governments should replace the hodgepodge of restrictions for foreign travel with digital solutions that allow tourists to confirm their status in a quick, simple, and secure manner, according to the global tourism organisation.
About the World Travel & Tourism Council
The World Travel & Tourism Council (WTTC) is a non-profit organisation that represents the global travel and tourism industry. 200 CEOs, chairs, and presidents from the world’s biggest travel and tourism firms from various geographies and industries are participants. WTTC has been working for more than 30 years to raise government and public understanding of the economic and social importance of the travel and tourism industry.
Per the WTTC’s 2021 Economic Impact Report, Travel & Tourism contributed 5.5 percent to global GDP in 2020, a year in which it was devastated by the COVID-19 pandemic, and was accountable for 272 million jobs.
