It’s been a tumultuous past few days for the stock market. Many business leaders are saying it’s the dawn of a recession, and at least one CEO on CNBC noted that “the economy is weakening as we speak.”
Whether we agree with United States President Donald Trump or not, the Trump tariffs are here.
Unless President Trump amends his plan, most economists are discussing how it will impact the prices of items like automobiles and food. Those are good examples of the potential impact, as one is discretionary and the other is necessary.
But don’t forget about travel.?
Don’t dismiss how this would affect travel, as the Trump tariffs could erode a fragile ecosystem. Prices would likely go even higher, and if you don’t think this could affect travel as well, you are sadly mistaken.
Think about the cost of maintenance; there are things like wing flaps on a plane, steering adjustments, electrical problems on cruise ships, and gas for vehicles. Ultimately, it all gets folded into the cost of a ticket.?
The tariffs could be viewed as a bastardized version of trickle-down economics. Eventually, this is going to affect everybody, even those of us who travel.
The next time you step on an airplane, think about who pays for a Federal Aviation Administration (FAA) mandate for repair. The parts can come from companies that have moved their operations overseas, and the same can be said for cruise ships, Amtrak trains and your car.?
The tariff's cost increase will be passed on to you, the consumer.
The travel industry is just an anomaly right now, but it’s not impervious to economic woes. A level playing field in the trade wars is not a bad idea, but there has to be a happy medium somewhere. We can’t afford to put our country into a recession.
So, don’t be surprised if the record number of travelers from the last year or two takes a dip. The wanderlust might still be there, but it just might be more expensive.
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