Tariffs, trade barriers, and political uncertainty are rewriting the rules of global business travel. Learn what’s changing, what’s at stake, and how your company can stay agile in this rapidly shifting environment.
Following years of disruption in many forms, it seems the global business travel industry has rebounded and is expanding faster than expected. As companies get a better understanding of post-pandemic needs, they’ve discovered that people are more eager than ever for in-person events that offer greater networking opportunities. Whether it’s closing deals face-to-face, strengthening teams that aren’t constrained by borders, or building excitement for the business at industry events, organizations are planning traveling with greater purpose. However, underneath this optimism lies a growing storm: trade wards, rising tariffs, and new global restrictions are reshaping how- and why- companies travel.
Yet one of the largest drivers of uncertainty within a complex landscape has become increased geopolitical and economic tensions being felt across the globe. From shifting alliances and regional conflicts to inflation and protectionist policies, the undeniable result has been a sharp rise in tariff and trade barriers. Companies must rethink their supply chains, revisit international partnerships, and brace for further regulatory uncertainty across all key markets.
Ripple effects have disrupted business travel as well, a predictable outcome to these issues. Rising costs, constantly fluctuating exchange rates, and continually changing visa requirements have only added to the complexity of corporate travel planning. The volatile political environments that have bred these shifts have been creating hesitancy surrounding cross-border meetings and long-term international commitments.
How Tariffs and Trade Restrictions Impact Corporate Travel Planning
Many misunderstand tariffs—they are simply taxes governments impose on imported goods. When products enter a country, the importer must pay that tax, often passing the cost to consumers. This makes foreign goods more expensive and strains international trade relationships.
In response, governments often impose trade restrictions such as quotas, bans, customs delays, and regulatory obstacles. These actions aim to protect national industries but often create bottlenecks that disrupt business operations and travel plans.
Day-to-day, these disruptions make strategic decisions harder. Costs associated with attending or hosting key events continue to climb. Even without direct increases in airfare or hotel rates, the constant instability caused by tariff revisions leads many businesses to postpone or cancel travel altogether.
The recent U.S.-China tariff war illustrates these challenges. The U.S. enacted a 145% tariff on Chinese imports; China retaliated with 125% tariffs on American goods. These tariffs made it cost-prohibitive to export Boeing 737 Max 8 jets to China, disrupting deliveries and damaging Boeing’s stock value. The fallout included a significant decline in Chinese tourism to the U.S., with nearly 2 million fewer visitors and an estimated $11 billion loss in tourism revenue.
The hotel industry has also felt the pressure. Longstanding tariffs on bedroom furniture imports from China have forced hoteliers to seek alternative suppliers, raising costs and extending lead times. Recent tariff hikes during Trump’s second term only intensified these complications.
Meanwhile, Brexit introduced fresh barriers between the U.K. and EU countries, with new customs requirements and immigration restrictions increasing costs and logistical complexity. In addition, the U.K. and EU are joining China in imposing retaliatory tariffs on the U.S., as an answer to the aggressive trade policies set by the second Trump administration. The intrinsic link between trade policies and corporate travel has never been more obvious and this escalation will lead to more expensive goods and services for billions of consumers while potentially forcing an economic recession that will only serve to impede sectors such as the hospitality industry.
Business Visa Holders and Shifting Travel Strategies
Adding to the travel quandary posed by the expansion of tariffs, the increased bureaucracy surrounding visa processing delays have fueled companies’ reluctance to travel internationally. As of early 2025, the average wait times for U.S. visitor visa interviews has hit 400 days in certain markets. Countries such as Mexico and Colombia are reporting wait times exceeding 600 days. Regarding the U.S. visa process, these lags are primarily a result of administrative challenges caused by the new administration’s continued plan to largely reduce the federal workforce, including a 10% cut in staff that has resulted in longer wait times for interview appointments and slower document processing.
All of these elements have coalesced to create an environment that feels similar to the business travel world shortly after COVID-19. While people are excited to get back to in-person events and meetings, this particular geopolitical environment has made organizations reluctant to sign-off on non-essential travel, opting more for remote alternatives. According to Global Business Travel Association (GBTA), over one-third of global travel managers expect to see a downturn in business travel volume. Although there was some optimism in late 2024 about a return to pre-COVID travel levels, the change in the U.S. federal government and the ensuing impacts, along with the continued feeling of instability, has led nearly 30% of travel customers to expect a 20% decrease in business travel spending overall.
Aside from companies opting for a complete cancellation of non-essential travel plans or moving to fully virtual events for the foreseeable future, many are choosing to send employees to local and regional events in an attempt to avoid cross-border travel entirely. This approach, a response to rising travel costs and evolving concerns over international travel, helps businesses maintain those face-to-face interactions many employees crave while minimizing expense and circumventing visa issues.
Travel to attend corporate events isn’t the only thing being impacted by these factors. Many companies have chosen to move to a virtual environment when it comes to typically in-person negotiations. Instead of physically sitting across a table from each other, executives are increasingly taking these vital strategic business steps via applications such as Zoom or Microsoft Teams. Negotiations and operations have become another aspect of business operations being influenced by visa delays and concerns.
Strategic Adaptation by Corporations
Given all these shifting obstacles to global business travel, what steps can companies take to stay efficient and compliant? Really understanding the value of any proposed travel is imperative. Aligning travel with desired business outcomes, encouraging virtual meetings for lower stakes networking, leveraging events within regional hubs, and utilizing a tiered approval system will ensure that business travel decisions are approached with an eye to the realities of the current environment.
In addition, partnering with travel tech companies can allow for smarter itinerary planning, offering a more strategic system when it comes to planning long-term corporate travel. Modern travel tech platforms streamline the planning process with personalized recommendations, efficient booking alerts, and real-time expense tracking. By embracing these technological advancements, companies can enhance their corporate travel strategies while ensuring trips are purposeful and cost-effective as geopolitical and economic uncertainties continue.
Be Prepared So You Don’t Have to Get Prepared
The state of the world right now impacts… everything. But there are solutions to help your business prepare for potential volatility caused by tariffs, escalating trade tensions, and prospective supply chain disruptions. When the business travel industry feels unpredictable, shore up your resilience with Onyx CenterSource’s suite of solutions, designed to manage complexity and ensure financial clarity amid global turbulence. Position your business to lead—not lag—by taking action now and staying ahead, even in challenging times.