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Monday, Mar 31, 2025

Decline in Canadian Travel to the United States Amidst Political Tensions

Decline in Canadian Travel to the United States Amidst Political Tensions

Canadians are rethinking their travel plans to the U.S. in response to tariff threats and political rhetoric.
Canadians, traditionally among the most frequent international travelers to the United States, are increasingly opting to stay home or choose alternative destinations.

Recent data indicates a significant decline in travel from Canada to the U.S. Following President Donald Trump's announcement of potential tariffs on Canadian goods, Canadian Prime Minister Justin Trudeau encouraged citizens to shift their vacation plans to explore domestic sites, a move that seems to be taking effect.

According to preliminary statistics from Statistics Canada, the number of Canadians traveling to the United States dropped by 13% in February compared to the previous year, and ground border crossings also saw a decrease, with a 23% drop in return trips for Canadian residents from the U.S. in February 2024.

The political climate has exacerbated these travel hesitations.

Canadians have expressed fears over Trump's aggressive statements regarding possible territorial claims on Canadian land, further deterring them from crossing the border for leisure or spending.

Reports of extended detentions of tourists and green card holders have compounded these concerns, leading to a significant impact on local economies in border states, which traditionally benefit from Canadian visitors.

Notably, Canadians accounted for approximately 20.2 million visits to the United States in 2024. A mere 10% decrease in the number of Canadian travelers could result in a $2 billion loss in spending and the potential elimination of 14,000 jobs, according to the American Travel Association.

The White House remains firm on its stance, with press secretary Anna Kelly asserting that Canadians would not face international travel harassment once they become American citizens and residents.

One notable example is Craig Treleib, a 34-year-old software developer from Ontario, who initially planned a trip to Arizona with his wife in May, spending around $3,500 on flights, accommodations, and a rental car.

After Trump’s comments regarding annexation, the couple canceled their trip, incurring a loss of approximately $500 in hotel bookings, but were able to recoup funds from other purchases.

They have since chosen to travel to British Columbia instead.

Treleib expressed discomfort in spending money in the U.S., perceiving the annexation threats as serious concerns for Canadians.

Many travelers have canceled U.S. bookings or are holding off on making reservations altogether, opting instead for other destinations.

Krunal Patel, a 40-year-old art teacher from Vancouver, planned to visit Las Vegas with friends in October but decided against it amid escalating tariff discussions.

Reports of detentions of Canadians by U.S. authorities intensified their decision to look for alternatives, citing concerns about the potential for being detained upon return.

The group is now planning a trip to Spain.

Airlines have responded to the changing travel patterns, with Canadian airlines reducing seat capacity to the U.S. by an average of 6.1% for April through June 2025 compared to their schedules in January 2024. WestJet, based in Calgary, reported a noticeable shift in bookings away from the U.S. to other vacation hotspots such as Mexico and the Caribbean.

Flair Airlines announced it would cease flights to Phoenix from Vancouver, Edmonton, and Calgary next month, and it will not resume its seasonal route from Toronto to Nashville, Tennessee this year.

Data from U.S. air travel statistics show a decline of 9.4% in Canadian arrivals to Las Vegas in February compared to the previous year, with Newark and New York airports experiencing an 11% drop.

However, the situation was not uniform across all destinations; Phoenix saw a year-on-year increase of 15% in arrivals.

In Niagara Falls, Canadians represent a significant portion of visitors, contributing 35-40% of travelers to nearby Buffalo annually.

The CEO of a company organizing tours to the falls reported a 14% drop in border traffic in February 2024 compared to the previous year and a 52% decrease in online visitor inquiries from Canadians since tariff discussions began.

The local tourism office in Vermont received numerous letters from Canadians explaining their decision to cancel travel plans, highlighting the broader economic and social repercussions of their decisions on local businesses and tourism industries.

Further impacting Canadian travel decisions is the strength of the U.S. dollar, which diminishes purchasing power for Canadians.

In Whitefish, Montana, just 60 miles from the British Columbia border, Canadian spending fell by 14% in January 2025 compared to the previous year.

Citizens in Canada are increasingly adopting a 'buy Canadian' movement to support local businesses and mitigate spending losses abroad.

The overall statistics indicate that a 10% drop in Canadian travel could lead to a significant economic impact on local economies in the U.S., confirming the longstanding interdependence between Canadian travelers and American tourism.
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