Holiday travel remains the primary reason Australians are venturing overseas, consistently accounting for about 60 pc of international trips
For the first time in months, outbound travel from Australia to the United States has declined, while destinations across Asia are experiencing a significant surge, says the Australian Travel Industry Association (ATIA) in its latest Travel Trends Report for May 2025.
The report highlights a dynamic shift in Australian travel patterns, with Asia emerging as the preferred region for international trips.
In a press statement, ATIA says that despite a robust overall outbound travel market, which saw 12.05 million trips in the year ending April, marking a 12.1 pc year-on-year increase, travel to the United States fell by 6.2 pc in April compared to the same period last year.
The statement adds that this decline occurred even as outbound travel overall rose by 8.3 pc in April, underscoring a notable pivot in Australian traveller preferences. In contrast, destinations such as Vietnam, with 28.5 pc rise for April, Japan with 17 pc and China with 12.7 pc, led the charge in growth, with the three nations also posting strong full-year gains. While travel to Japan surged 33.8 pc, China registered a growth of 26.9 pc and Vietnam grew by 25 pc.
ATIA says that holiday travel remains the primary reason Australians are venturing overseas, consistently accounting for about 60 pc of international trips. Meanwhile, travel to visit friends and relatives peaked at 34.8 pc in February, while business and other travel reasons remain comparatively low.
The statement adds that on the inbound front, Australia welcomed approximately 8.36 million international visitors in the year ending April, a 6.7 pc increase from the previous year. The strongest growth was recorded from China, with 23.4 pc, Japan at 12.9 pc and South Korea at 11.9 pc, while arrivals from New Zealand and the US remained steady.
Additionally, in April alone, international arrivals rose 8.1 pc year-on-year, with especially strong increases from the United Kingdom, rising by 39.5 pc and China by 27.1 pc. However, several Asian markets, including Indonesia, Japan and Malaysia, saw slight declines in arrivals.
ATIA says that from an aviation perspective, Qantas Airways, Australia’s national airline, maintained its lead in market share, carrying 528,000 international passengers for the year ending February, 15.8 pc of the market.
The statement adds that Jetstar saw the most significant growth, increasing its passenger count to 401,000 and its market share to 12 pc. Singapore Airlines also experienced a rise, growing its share from 9 pc to 9.4 pc, while Scoot Tigerair and China Eastern saw declines in both passenger numbers and market share.
According to the statement, overall, international airline passenger numbers grew from 3.21 million to 3.35 million year-on-year, reflecting a continued recovery in global travel demand.
Dean Long
“We are seeing a noticeable softening in USA-bound travel by Australians, with a 6.2 pc drop in April compared to the same month last year even as overall outbound travel increased. Holidaymakers continue to drive outbound travel demand, accounting for around 60 pc of all trips. The appeal of international experiences, especially across Asia, remains strong as Australians prioritise leisure travel. These trends demonstrate the critical importance of a resilient and responsive travel sector to meet shifting consumer behaviours. We encourage Australians to always book through ATIA Accredited travel businesses to guarantee expert service, transparency, and peace of mind,” says Dean Long, CEO, ATIA.
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