April 9 (UPI) — Delta Airlines has withdrawn its financial forecast for 2025, blaming the negative economic effect of the Trump tariffs along with increasing uncertainty and lower travel demand.
Delta CEO Ed Bastian told CNBC Trump’s trade policies are “the wrong approach.”
He said the company won’t expand flights in the second half of 2025 due to lower than expected bookings, economic uncertainty and Trump’s trade policies.
On Wednesday afternoon, it was announced that the Trump administration is putting a hold on some of its tariffs for 90 days.
Bastian said the airline’s previous forecast had been for the “best financial year in our history.”
Delta indicated slowing growth in the midst of increasing economic uncertainty complicated by rising trade tensions and a reduction in broad consumer confidence.
In the just concluded quarter, Delta had a 3.3% revenue growth, well below its previous expectations of a 7%-9% increase.
The revised projection from Delta now is that second quarter revenue could wind up in range between minus 2% and plus 2%.
Bastian said both consumer and corporate confidence has been weakening since mid-February.
Delta’s stock has dropped 41% this year, reflecting airline industry struggles as other major airlines also experience losses.
The lower travel demand includes a 13% decline in European bookings, according to analytics firm Cirium.
