Americans are arriving Down Under in record numbers while Australians are choosing Asia over the USA, according to new data from the Australian Travel Industry Association (ATIA).
The latest ATIA Travel Trends Report reveals a 19.2 per cent spike in inbound travellers from the United States to Australia in July 2025 compared to the same period last year. At the same time, Australian outbound travel to the USA dipped by 2.7 per cent for the month.
The report, covering June and July 2025, highlights the contrasting trends shaping Australia’s inbound and outbound sectors. For the year ending July 2025, inbound visitors rose 6.1 per cent to 8.49 million, while outbound trips jumped 10.6 per cent to 12.32 million.
According to ATIA, the USA is fast emerging as one of Australia’s most dynamic inbound markets. July’s surge was part of a wider 12.8 per cent increase in inbound travel that month, led by strong growth from the UK, Singapore, Hong Kong, and the USA.
ATIA CEO Dean Long says the sharp rise in US arrivals demonstrates the global appeal of Australia’s tourism product. “The remarkable 19.2 per cent jump in US arrivals in July is a testament to the strong appeal of Australia as a holiday destination,” he says. “It underscores the importance of a resilient travel sector to capture this demand.”
For travel sellers, this points to continued opportunities in inbound tourism partnerships, including packages that showcase Australia’s unique landscapes, Indigenous culture, and adventure offerings, which are traditionally high on the list for American travellers.
While inbound growth is being driven by long-haul markets, Australians themselves are still favouring closer travel experiences within the Asia Pacific region.
For the year ending July 2025, outbound trips to Asia soared: Japan rose 26.7 per cent to 913,200 visitors, China 25.3 per cent to 660,520, Vietnam 24.7 per cent to 498,740, and Thailand 18.1 per cent to 645,770. Indonesia remained the top outbound destination with 1.74 million travellers, an 11.8 per cent lift.
What do airline and travel results tell us about Aussie travellers in 2025?
Dean Long highlights that affordability and cultural diversity are at the heart of the trend. “Australians are driven by international experiences, with holidays accounting for over 50 per cent of all trips. The continued popularity of Asia, led by destinations like Japan, China, and Vietnam, shows a distinct preference for diverse, culturally rich travel that offers great value,” he says.
For agents, this shift reinforces demand for itineraries that balance budget-conscious travel with immersive cultural experiences. Asian destinations are delivering both, positioning them as competitive alternatives to the higher-cost USA.
International passenger numbers also rose, from 3.28 million to 3.44 million year-on-year to June 2025. Airlines’ market share shifts were notable: Jetstar and Cathay Pacific recorded the strongest gains, Qantas held steady, while Air New Zealand (NZ), Emirates (EK), Qatar Airways (QR), Virgin Australia (VA), and Malaysia Airlines (MH) experienced slight declines.
Domestically, route capacity showed mixed fortunes. Perth–Sydney saw an 11.7 per cent capacity boost in June 2025, while Gold Coast–Melbourne and Adelaide–Sydney declined by 7.7 per cent and 6.9 per cent respectively.
For advisors, the contrasting flows highlight two clear opportunities. First, there is strong inbound growth from the US, creating potential to collaborate with US-based operators and wholesalers looking to build Australia itineraries. Second, Asia remains the outbound market to watch, with travellers chasing value, proximity, and rich cultural experiences.
ATIA is also encouraging travellers to book through accredited businesses, noting the importance of professional expertise in a shifting travel landscape. “Our members provide expert service, transparency, and peace of mind, ensuring travellers are protected and supported every step of the way,” Long says.
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