Prices for international flights drop as major airlines navigate choppy economic climate

“We’re seeing softness in fares that we just haven’t seen for years,” one travel expert said.

The Minnesota Star Tribune
June 5, 2025 at 6:14PM
Passengers wait to go through the TSA security checkpoint inside Terminal 1 at Minneapolis-St. Paul International Airport. (Leila Navidi/The Minnesota Star Tribune)

This could be the summer to land a good deal on international airfare.

In April, average prices for U.S. airfare, including flights at Minneapolis-St. Paul International Airport, were lower than in the same month in any of the past five years, reflecting wavering consumer sentiment about the state of the economy at the start of peak summer travel, the most recent data shows.

Travel experts are paying close attention to the prices for overseas trips, which could be seen as unnecessarily lavish by travelers paying their own way with dwindling savings or adding to mounting credit card debt.

“For the first time, and probably since really coming out of the pandemic, we’re seeing softness in fares that we just haven’t seen for years,” said Clint Henderson, managing editor at flight deals website the Points Guy.

That is “great for consumers,” Henderson added, but also “hints at a possible economic slowdown. That’s usually how these things rise and fall.”

Mainline carriers like Delta Air Lines, American Airlines and United Airlines all have deals running late into the booking season. Henderson said he usually advises people to buy an overseas flight at least four or five months in advance — but that does not seem to matter this year.

“I think this is going to be the summer of savings,” Henderson said. “I really think there’s going to be a lot of deals out there. I think the airlines are not selling as many seats, the hotels are not selling as many rooms as maybe they have in summers past. So, look for those deals.”

Airline fares declined overall in the first months of the year, according to the latest Consumer Price Index, released in mid-May. Fares in April decreased 7.9% compared year-over-year, the data show.

Ticket prices for international flights on U.S.-based and foreign airlines fell at a faster clip than domestic trips, according to an analysis by Airlines for America, a trade group representing the nation’s major airlines. The trade group, which has predicted a record summer travel season in 2025, found international fares dropped in April by 3.9% compared to 2024.

U.S.-based carriers also depend on foreign travelers to make international flying profitable. International booking declined this year with many visitors avoiding the U.S., especially Canadians. At the same time, overall international travel rose as U.S. fliers continue to travel abroad, according to data from the International Trade Administration.

The nation’s major airlines say domestic air travel has been the biggest area of weakness so far this year. In its latest earnings call in April, Delta executives predicted revenue for the summer quarter could be 2% lower than last year. Nearly 80% of the company’s international revenue comes from U.S.-origin flights.

Tempered earnings expectations come as broader economic concerns loom over the industry.

After bottoming out in April, consumer confidence rebounded slightly in May, reversing a five-month plunge. Pessimistic views about the economy moderated as consumers have shown greater appetite for more expensive items like vacations, according to the latest data from the Conference Board.

However, fears remain about tariffs raising the cost of goods and businesses delaying new hires, according to closely watched consumer surveys.

U.S. consumer appetite for summer vacations remains, but people are watching their wallets.

A 2025 travel survey by Deloitte showed lower demand for air travel this year as consumers trim vacation budgets, said Eileen Crowley, who leads the analytics firm’s U.S. transportation, hospitality and services practice.

Cost concerns are bleeding into higher income brackets, Crowley said. This year, one-third of high-income travelers said they were more price sensitive, compared to a quarter in 2024, according to the company’s survey.

Crowley said consumers still want to visit other countries, but those flying to faraway places may cut back on perks like comfort or priority seating.

“There’s still an interest,” she said. “But we do expect to see a pullback in 2025.”

Just before Memorial Day weekend, Delta celebrated the maiden voyage of one of its newest nonstop flights connecting Copenhagen and MSP, with photos in front of a cityscape and cupcakes decorated with Denmark’s flag. The airline expects to increase its international seats at MSP by more than 10% next month.

Last fall, the consensus at airfare-tracking service Thrifty Traveler was that the flights Delta offered to Copenhagen and another new nonstop to Rome would be on the expensive side, considering the captive market at MSP, executive editor Kyle Potter said. Then the website started noticing roundtrips to Rome for $497.

“That says something for where the market is at right now, and where travel is at,” he said, noting that airlines have entire departments dedicated to selling seats at the highest price possible.

“Maybe airlines are struggling, I don’t know,” he said. But “the odds of finding a great deal are better than they’ve been in years.”

about the writer

about the writer

Bill Lukitsch

Reporter

Bill Lukitsch is a business reporter for the Star Tribune.

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