Federal Government Shutdown Could Cost US Travel Industry $140 Million Daily

Image: U.S. Capitol Building. (photo courtesy of trekandshoot/iStock/Getty Images Plus)
Image: U.S. Capitol Building. (photo courtesy of trekandshoot/iStock/Getty Images Plus)
Donald Wood
by Donald Wood
Last updated: 10:20 AM ET, Thu September 21, 2023

New data revealed that a potential federal government shutdown would likely cost the travel industry in the United States as much as $140 million a day.

The U.S. Travel Association found in addition to losing almost $150 million daily, Congress failing to pass a short-term extension by September 30, America’s air travel system would experience more flight delays, longer screening lines and setbacks in air travel modernization.

A new survey found that 60 percent of U.S. travelers would cancel or avoid trips by air in the event of a shutdown. Another 81 percent of respondents said a government shutdown would hurt the economy and 83 percent said it would impact businesses that depend on air travelers, as well as tourist attractions like national parks and museums.

“Each day that passes will cost the travel economy $140 million, an unacceptable prospect that Congress must avoid before the clock runs out and the damages mount,” U.S. Travel Association President and CEO Geoff Freeman said. 

“The federal government is already failing the traveler—a shutdown would be further proof of Washington’s inability to find reasonable solutions to problems that affect Americans nationwide,” Freeman continued. 

In addition to working on lengthy visitor visa interview wait times and passport and Global Entry processing delays, Congress must pass a long-term Federal Aviation Administration (FAA) reauthorization bill, with the current authorization set to expire on September 30.

Inaction on the new FAA bill would further compound travel challenges for Americans.

“This completely avoidable situation threatens livelihoods and jobs across the U.S. economy,” Freeman said. “Ultimately, travelers, businesses and workers will pay the price if lawmakers fail to enact a stop-gap funding bill.”


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