Two major airlines have warned that European tourists are avoiding visiting the US this summer.  

Air France and Lufthansa reported weaker demand for transatlantic bookings from Europe to the US in the first quarter of the year. 

It comes as Donald Trump’s aggressive trade policies and border crackdowns are putting tourists off vacationing in America. 

‘There are many customers who are hesitant to buy tickets until there is more clarity on issues such as the border,’ explained Air France-KLM CEO Ben Smith during an earnings call with investors.

Air France experienced a 2.4 percent decrease in bookings for transatlantic travel from European customers in May and June compared to the previous year, as reported by The Financial Times.

The airline’s chief financial officer, Steven Zaat, mentioned that the impact on the airline has been minimal because there is a higher demand for tickets from the US to Europe.

However, a continued pullback in transatlantic travel could spell major issues for European long-haul airlines which are dependent on the high-margin trips to the US.

Lufthansa, British Airways and Air France all make around 50 percent of their profits from their flights to and from the US, according to analysis from Barclays. 

Lufthansa has seen a drop in demand from Europeans travelling to the US this summer 

Ben Smith, CEO of Air France, said tourists want more clarity before buying tickets

Lufthansa also reported a weakening in transatlantic bookings as Europeans show hesitancy about visiting the US during the usually busy summer period. 

‘When it comes to vacation trips to the US, especially from the German, Austrian and Swiss markets, it’s easy to imagine conversations around the kitchen table where families are saying, “We don’t know yet if we really want to go,”‘ CEO Carsten Spohr explained on the airline’s earnings call on Tuesday. 

However, Spohr said he hoped the recent softening in the White House’s rhetoric on tariffs would lead to a pick-up in demand later in the year. 

‘The discussions about tariffs are no longer as heated as they were four weeks ago,’ he told analysts.  

‘That is why we believe that some of these bookings will be recovered in the coming weeks.’

Despite the hopeful note, Lufthansa still plans to pull back its plans to expand the amount of transatlantic flights from 6 percent to 3 percent by the final quarter of the year.

The total number of foreign visitors to the US dropped by 12 percent in March compared to the same time last year, The Financial Times reported. 

One of the biggest hits has come from Canadians, many of whom are actively boycotting the US following Trump’s aggressive trade policies and threats to annex the country into becoming the ’51st state.’

European long-haul airlines are dependent on profits made from transatlantic routes 

Canadians are cutting back on trips to the US, and taking vacations elsewhere

Lufthansa CEO Carsten Spohr warned that Europeans are pulling back on US vacations 

Palm Springs have put up signs to express their respect for their Canadian visitors 

The number of Canadians making trips to the US by car dropped 32 percent in March compared to a year ago, according to Statistics Canada figures. 

It marked the third straight month of declines — including a 23 percent plunge from the month before.  

Air travel also took a hit, down 13.5 percent in March year-over-year.

Canadians have long been the top international travelers to the US, driving $20.5 billion in spending last year. 

Even a 10 percent dip could wipe out $2 billion in economic activity and cost 14,000 jobs, according to the US Travel Association. 

Tourist hotspots that rely heavily on Canadian visitors, such as Buffalo, New York and Old Orchard Beach in Maine, will be hit hardest.