Leslie Massey
The COVID-19 pandemic has significantly impacted international travel, with the number of visitors to the US from Australia in March 2025 decreasing by 7% compared to the previous year. This decline can be attributed to various factors, including the political environment in the US, with President Donald Trump's policies and the COVID-19 pandemic disrupting travel plans. Despite this, some airlines are expanding their routes to Australia, such as United Airlines, which has added daily flights to Adelaide, Australia, offering new opportunities for travellers.
| Characteristics | Values |
|---|---|
| Airlines flying to Australia during COVID-19 | Qatar Airways, Singapore Airlines, Turkish Airlines, Malaysia Airlines, El Al, Qantas, Virgin Australia, Philippine Airlines, Nepal Airlines, Pakistan International Airlines |
| Airline requirements | Boarding from back to front, boarding 10 people at a time, deplaning by rows, mask requirements, health screening forms, COVID-19 testing, self-quarantine regulations |
| Challenges | Flight cancellations, reduced number of flights, lengthy hold times, changing restrictions and requirements, research and fact-checking |
| Advantages | Control over booking and process, savings on travel agent fees, flexibility in shopping between airlines and dates |
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What You'll Learn
United Airlines expands its network to Australia
United Airlines has expanded its network to Australia, with new flights to several destinations in the country. The airline has introduced direct flights to Adelaide, making it the first US carrier to offer non-stop service to the city, starting in December 2025. United has also added new routes to Brisbane and Auckland, including direct flights from Los Angeles to Brisbane and a new service between San Francisco and Christchurch.
The expansion of United's Pacific network includes other sought-after destinations in Asia, such as Bangkok, Ho Chi Minh City, and Manila. United now serves 32 cities across the Pacific, offering an extensive range of travel options for North American travellers. The airline's growing network in the Pacific region is a response to the increasing demand for international travel to these destinations.
United's partnership with Virgin Australia will enable travellers to access expanded domestic options once they arrive in Australia. This will make it easier for tourists to explore other parts of the country, including South Australia, which is known for its thriving food and wine scene and beautiful natural landscapes.
United's expansion into Australia and the broader Pacific region is a strategic move to cater to both leisure and business travellers. By being the first US airline to offer flights to certain destinations, United is positioning itself as a leader in the market. The addition of new routes could attract a diverse customer base and enhance brand loyalty and market presence. However, United must maintain competitive pricing and high service standards to capitalise on these opportunities effectively.
The expansion also comes with challenges, including increased operational costs and the risks associated with international regulations and market entry. Investors will be monitoring the impact of these new routes on United's financial performance and whether they lead to sustainable growth.
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Drop in Australian visitors to the US
The US has recorded the sharpest drop in Australian visitors since the Covid-19 pandemic. Official statistics from the US International Trade Administration show that Australian visitor numbers fell by 7% in March 2025 compared to March 2024. This is the largest decline since March 2021 when the Covid-19 pandemic was disrupting international travel. The data, which counts visits of one or more nights, also revealed a 11.6% drop in overseas arrivals to the US from all origins in March.
The decline in Australian visitors to the US has been attributed to various factors, including the weak Australian dollar, making holidays to the US more expensive. Additionally, there have been reports of increased scrutiny at US borders, with stricter entry requirements. The Australian government's Smartraveller website updated its US travel advice, warning travellers to understand the "relevant terms and conditions" before attempting to enter the US. The current political climate in the US under Donald Trump's second presidency is also believed to be a contributing factor, with some travellers wary of potential issues related to trade policies, treatment of certain individuals, and other pronouncements by the Trump administration.
Furthermore, there are concerns about safety, particularly for academics and those who are outspoken about the Trump administration on social media. Some Australian academics have refused to attend conferences in the US due to fears of detention. The introduction of tariffs and the application of tariffs to Australian companies may also impact business travel to the US, with businesses potentially prioritizing trade with other nations such as Asia and the Middle East.
While the number of Australian visitors to the US has decreased, there may be a silver lining. James Kavanagh, Flight Centre's chief executive of leisure travel, noted an increase in airline capacity between the two countries, which could lead to lower airfares. Additionally, there has been a significant uplift in bookings to East Asia and Northern Europe, indicating a shift in Australian travel preferences.
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Australian travellers avoiding Trump's America
Australian travellers are increasingly avoiding America under Donald Trump's second presidency, with official statistics from the US International Trade Administration showing that the number of visitors from Australia in March 2025 was down by 7% compared to March 2024 – a reduction of almost 4,600 people. This is the largest decline since March 2021, when the Covid-19 pandemic was disrupting international travel.
The downturn in travel following Trump's inauguration exceeded even the global tourism industry's worst-case predictions, according to travel analytics group Tourism Economics. The introduction of tariffs and a string of incidents with US border protocols since January 2025 may have influenced Australians' decisions on where they choose to travel. For example, an Australian man with a working visa was detained and deported on his return to the US, with border officials allegedly telling him, "Trump is back in town". An Australian comedian also cancelled a planned trip to the US after receiving legal advice that she could be stopped at border control due to her previous jokes about the Trump administration.
Australian academics and businesspeople have also refused to travel to the US for fear of being detained. James Kavanagh, Flight Centre's chief executive of leisure travel, acknowledged that the political environment in the US may be influencing Australians' decisions on where they choose to travel. Melissa Elf, global chief operating officer of Flight Centre's corporate wing, noted that the introduction of tariffs could see businesses look away from the US and towards Asia and the Middle East.
The US is experiencing a decline in inbound international tourism, influenced by geopolitical tensions, border security incidents, and shifting global preferences among travellers. Tourists from Asia, Europe, and Latin America are increasingly choosing alternative destinations perceived as more welcoming or politically neutral. Countries such as Mexico, South America, and Europe are attracting more Canadian travellers, who traditionally visit the US but now feel unwelcome there.
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Airline capacity between US and Australia increases
Despite the US seeing the biggest drop in Australian visitors since the Covid-19 pandemic, airline capacity between the US and Australia has increased. James Kavanagh, Flight Centre's chief executive of leisure travel, noted a slight decline in bookings to the USA during the first quarter of 2024 compared to 2025, but a significant increase in bookings to East Asia and Northern Europe.
The decline in Australian visitors to the US is largely attributed to the political environment under Donald Trump's second presidency. Official statistics from the US International Trade Administration show that the number of visitors from Australia in March 2025 was down by 7% compared to March 2024, a reduction of 4,559 people. This is the largest decline since March 2021, when the Covid-19 pandemic significantly disrupted international travel.
The drop in Australian visitors to the US has also been influenced by factors such as the long-term weakness of the Australian dollar, making holidays in the US more expensive. Additionally, incidents with US border protocols, including the detention and deportation of an Australian man with a working visa, have raised concerns among Australians. An Australian comedian also cancelled a planned trip to the US due to fears of being stopped at the border because of previous jokes about the Trump administration.
Despite the decrease in travellers between the two countries, the increased airline capacity between the US and Australia could lead to lower airfares, making travel more accessible and affordable for those who choose to make the journey.
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Lufthansa slashes growth on transatlantic routes
Lufthansa has been a prominent airline with a wide network of flights since the 1960s. However, in June 2019, the airline slashed its profit projections for the year, citing challenges in the European market. This decision came despite Lufthansa's success in increasing revenues on routes between Europe and North America or Asia. The airline attributed the challenges in Europe to the influence of low-cost carriers, which significantly impacted ticket prices on the continent.
Lufthansa's decision to cut its profit projections was not an isolated incident. The airline has undergone several restructurings and route adjustments in recent years to improve its financial performance. For example, in 2011, Lufthansa announced a restructuring program called SCORE to enhance its operating profit. As part of this program, the company transferred all short-haul flights outside its hubs in Frankfurt, Munich, and Düsseldorf to its low-cost carrier, Germanwings.
In June 2015, Lufthansa also decided to close its long-haul base at Düsseldorf Airport due to economic reasons. This decision resulted in the cancellation of services to Chicago and the seasonality of the Düsseldorf-Newark route.
Lufthansa's subsidiaries have also faced challenges. Eurowings, a low-cost carrier and subsidiary of Lufthansa, underwent a significant overhaul in 2019. The airline changed its route, fleet, and business model, with a focus on European short-haul operations. Eurowings had previously posted a negative EBIT of €90 million in 2016, and the changes were expected to bring profitability by 2021.
Most recently, in October 2024, Lufthansa cut one of its newest U.S. routes between Frankfurt and Minneapolis. The airline attributed this decision to aircraft availability constraints and cited issues such as delayed deliveries and punctuality problems at its German hubs. Lufthansa's low-cost subsidiary, Discover Airlines, took over the route with a reduced weekly service.
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Frequently asked questions
United Airlines is flying to Australia during the Covid-19 pandemic.
United Airlines has flights from Los Angeles and San Francisco to Adelaide, Australia.
United Airlines operates non-stop flights from San Francisco to Adelaide three days a week.
Yes, United Airlines also flies to Vietnam and Thailand.
