Mar 8: DOJ Cost to Dismiss Travel Ban Case -$126. Cost to U.S. Business-$18 Billion. WA and HI Prepare to Fight.

March 9: Washington State asks that the temporary injunction granted on the first travel ban be applied to to the new executive order.  Hawaii has already filed with a hearing set for March 15, one day before the new ban takes effect.  Other states expected to join include New York and Oregon, according to Washington  State Attorney General– Bob Ferguson.

March 8:  The 9th Circuit Court of Appeals honors the DOJ’s motion to dismiss in the State of Washington and State of Minnesota v. Donald J. Trump.

Hawaii argued that the travel ban is hurting its tourism industry when filing the lawsuit.  It is not alone.  A case that cost the DOJ and taxpayers $126.36 to dismiss is expected to cost U.S. businesses upwards of $18 billion.

“Each U.S. household would pay $1,192 more in taxes without the tax revenue generated by travel and tourism.” —U.S. Travel Association

The Dismissal. 

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The new travel ban.

On Monday, Trump announced his new travel ban, which now includes 6 instead of 7 muslim countries, citing that Iraq has implemented stringent vetting practices.  The countries include:  Iran, Syria, Libya, Somalia, Sudan and Yemen.  The ban may impact up to 20 countries.  In an interview with CNN, DHS Secretary John Kelly said, “There’s a number of them out there, I don’t want to speculate. There’s probably 13 or 14 countries, not all of them Muslim countries, not all of them in the Middle East, that have questionable vetting procedures we can rely on. And if we overlay additional vetting procedures, the chances are these countries will be minimum citizens from those countries that visit our country.”

Below: The graphic compares 2016 vs. 2017 for the same period with Trump Presidency milestones highlighted.

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Above: Take note that travel from Eastern Europe was up. The weekly search for flights from Russia to the U.S. was up by 88%.  Whereas, the weekly searches for countries included in the travel ban decreased by 33%, according to Hopper Research.

A few facts on the impact on business travel the week following the first travel ban:

  • The week following Trump’s first travel ban, U.S. business travel bookings took a dive with a $185 million loss.–according to a report from the Global Business Travel Association.
  • “We say it time and again. Business travel drives lasting business growth and is a leading indicator for jobs and the economy at large.” –GBTA
  • Business travel, which was on the upswing the previous week, decreased by more than 2% in the week following the travel ban.
  • The annual cost of a 1% decrease in business travel spending :  71,000  U.S. jobs and $5 billion in Gross Domestic Product. –GBTA

The Economic impact from countries not included in the travel ban.

“We will lose not just the people that might come from these six identified countries,” said William Stock, an immigration lawyer in Philadelphia and president of the American Immigration Lawyers Association. “We’ll lose people who have plenty of money from Europe who say ‘Well I’m not gonna go spend money at Disney in Florida. I’m going to go to another vacation place because I don’t want to spend my money in a country that’s so discriminatory.'”

Data from Kayak UK for the 2017 summer travel season shows that the States have fallen out of favor among Brits. Flights to Tampa and Orlando down 58%, Fort Lauderdale and Miami down 57% and 52% respectively compared to 2016 figures. On the west coast, searches for popular destinations down as well:  San Diego- 43%, Las Vegas-36% and Los Angeles- 32%.

The math on the impact of Muslim travel (based on 2013 figures).

  • More than million Middle Eastern people passed through U.S. customs. –U.S. Travel Association.
  • Each traveler spends an average of $6000.
  • The quick math would give you $6 billion dollars, but according to Travel and Leisure that cost is $6.8 billion with actual figures.
  • The figure above only represent 37% of Muslim travelers. Travelers from  Turkey, Malaysia, Indonesia, and others are excluded. When including these countries the figure jumps to $18.4 billion.

How Much Income Does U.S. Travel Generate? Hard Facts via the U.S. Travel Association.

“Direct spending by resident and international travelers in the U.S. averaged $2.6 billion a day, $108.1 million an hour, $1.8 million a minute and $30,033 a second.” —U.S. Travel Association.

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