President Donald Trump has launched a trade war against Canada by levying 25% tariffs on the country's goods, and some Canadians are preparing to abandon their vacation plans to the U.S. in protest. This could have a significant impact on the American tourism sector, as Canadians make up a substantial percentage of U.S. travel revenue.
Heavy impact on American tourism If Canadians stop traveling to the U.S., it could mean a large reduction in revenue for the American tourism industry. Canada is the "top source of international visitors" to the U.S., with "20.4 million visits in 2024, generating $20.5 billion in spending and supporting 140,000 American jobs," according to the U.S. Travel Association. A decrease of just 10% in Canadian travel to the U.S. could result in "2 million fewer visits, $2.1 billion in lost spending and 14,000 job losses."
The top five most-visited states by Canadians are California, Florida, Nevada, New York and Texas, and they could all "see declines in retail and hospitality revenue," said the U.S. Travel Association.
Urging alternate plans As Trump's tariffs continue, some Canadians are pivoting to alternate travel plans — a move Prime Minister Justin Trudeau supports. This is the "time to choose Canada," he said during a recent press conference. Beyond buying Canadian-made products, Trudeau added this "might mean changing your summer vacation plans to stay here in Canada."
Many Canadians are heeding Trudeau's advice. "I will no longer be traveling to the U.S. unless it's absolutely necessary to go," Harold White of Quebec, who canceled his annual trip to Maine, said to The New York Times.
Canadians are indeed "starting to pivot away and avoid the U.S.," Alexis von Hoensbroech, the CEO of Canadian airline WestJet, said to the Times. There has been an "increase of bookings into Mexico, into the Caribbean, into other non-U.S. destinations." There has also been an uptick in non-Canadian tourists heading to "Mexico, Portugal and Antigua," instead of the U.S., Amra Durakovic, of the travel agency Flight Centre, said to Canada's CBC. |