Brand USA is facing a potential 80% federal funding cut amid a fragile international travel recovery, though CEO Fred Dixon remains cautiously optimistic and has launched a new campaign, “America the Beautiful,” to promote U.S. tourism. Meanwhile, U.S. hotels are bracing for stricter immigration enforcement under the Trump administration, which is worsening labor shortages, especially for resort properties dependent on seasonal immigrant workers. Finally, Air India is reducing international widebody flights by 15% through mid-July due to increased safety inspections, airspace closures, and route diversions linked to the Israel-Iran conflict.

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