Amusement Places Such As Disney Are Suffering From Trump Tariffs As Visitors From Home and Abroad Stay Away

19th April 2025

Disney parks are feeling the effects of the Trump administration's tariff policies.

Analysts warn that trade tensions and tariffs could impact Disney's theme parks, as amusement park attendance is closely tied to the health of the economy.

Consumer sentiment has dropped, and international tourism to the U.S. is expected to decline, which could affect visitor numbers at Disney parks. Additionally, Disney CEO Bob Iger has expressed concerns about rising costs due to tariffs, particularly for cruise ship construction, which relies on imported steel.

The tariffs have also contributed to a decline in international visitors to Disney World, with travel from Canada and China decreasing significantly. This shift could lead to financial losses for Disney, as international tourists tend to spend more and stay longer.

Disney CEO Bob Iger has expressed concerns about the impact of tariffs on the company and the broader economy. He mentioned that relocating manufacturing from overseas to the U.S. quickly is not feasible and that many people misunderstand how tariffs work. He also highlighted challenges for Disney Cruise Line, as the construction of new ships relies heavily on imported steel, which has become more expensive due to tariffs2.

These rising costs might lead Disney to scale back spending or delay projects, including their ambitious $60 billion expansion plans for theme parks and cruise lines. Iger also warned that higher expenses could result in increased prices for consumers, affecting everything from admission fees to merchandise3.

It's a tough spot for Disney, balancing growth with these economic hurdles.

Theme parks are still a popular choice for American families in 2025, but there are some shifts in travel habits. While many families continue to visit places like Walt Disney World and Universal Orlando, some are opting for more budget-friendly vacations or shorter trips. Rising costs and economic concerns have led some families to prioritize affordability, choosing regional theme parks or alternative destinations.

That said, theme parks remain a top vacation choice, especially for families looking for immersive experiences and new attractions. Disney and Universal have introduced new rides and expansions, which continue to draw visitors.

Disney theme parks welcomed around 140 million visitors across all locations in 2023, significantly outpacing competitors like Universal.

While numbers are dropping they are still high but with cost of living biting in coming months it remains to be seen if overall numbers will drop.

The annual inflation rate in the U.S. eased to 2.4% in March 2025, down from 2.8% in February, marking its lowest level since September. This decline was driven in part by falling energy prices, with gasoline prices dropping 6.3%, offsetting increases in electricity and natural gas.

Meanwhile, core inflation, which excludes food and energy, also slowed to 2.8%, the lowest since March 2021. The Consumer Price Index (CPI) actually decreased by 0.1% in March, marking the first decline since May 2020.

The Federal Reserve is keeping a close eye on inflation trends, especially as tariffs introduced by President Trump could impact future price levels.