Picturesque view of Hallstatt, Austria with a prominent church by the waterfront, surrounded by mountains.

The Colosseum in Rome, Italy under daylight

International airfare is down about 4% compared to last year heading into Labor Day weekend, while domestic airfare within the U.S. is up roughly 2%, according to AAA’s 2026 Labor Day travel forecast. It is a reversal of the usual pattern, where flying overseas typically costs more than a short domestic hop.

AAA’s data shows Rome, Vancouver, London, Dublin and Paris as this year’s top international destinations for the holiday weekend, while Seattle, Orlando, Boston, Denver and New York City lead the domestic list. Local AAA-affiliated newsrooms confirmed the same rankings in their own Labor Day coverage this month.

Why the Numbers Flipped

Domestic airfare has climbed as airlines juggle higher fuel and operating costs on U.S. routes, the same pressures that pushed JetBlue and United to raise checked-bag fees earlier this year. International carriers, meanwhile, have been adding capacity to Europe at a rate that has outpaced demand growth, softening prices even during a holiday weekend that typically sees a late-summer surge in transatlantic bookings.

Airplane taking off from a runway

“AAA members are embarking on Alaska cruises and river cruises, touring national parks across the U.S. and sightseeing in Europe,” said Jillian Young, AAA Northeast’s director of public relations, in the organization’s release. “Many of our members are also looking ahead and booking cruises and tours for 2027.”

Cruises and National Parks Are Also Drawing Crowds

Beyond airfare, AAA’s forecast points to Alaska cruises, river cruises and national park visits as major draws for the holiday weekend, alongside popular stops like Rocky Mountain, Arches, Zion and the Grand Canyon. Road trippers face their own cost increase this year: gas prices in several Northeast states, including Connecticut, Massachusetts, New Jersey, New York and Rhode Island, are running about a dollar higher per gallon than last Labor Day.

Car rental demand is expected to peak on Friday, September 4, ahead of the holiday itself. Seattle’s spot atop the domestic list lines up with its role as a major departure port for Alaska cruises, one of the categories AAA flagged as especially popular this year.

The Practical Upshot

For travelers weighing a last-minute Labor Day trip, the math this year genuinely favors crossing an ocean over staying close to home. A domestic flight to a popular weekend spot may now cost more than a seat to London or Paris, a gap unlikely to hold once fall and winter pricing resets. Anyone eyeing a European getaway before ticket prices catch back up may want to book sooner rather than later.

The pricing shift also lines up with a wave of new transatlantic capacity from U.S. carriers this year, including United’s recently announced push into 10 additional European and Asian cities for 2027 and Delta’s largest-ever summer schedule across the Atlantic. More seats chasing the same demand tends to soften fares, and this Labor Day appears to be an early sign of that playing out.

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