The Trump administration’s trade policies appear to be influencing Canadian travel habits, with many shifting their destinations away from the U.S. due to tariffs and tensions.
“There’s clearly been a reaction,” said WestJet’s Alex Cruz during an interview with CNBC’s Squawk Box Europe. He noted that while Canadians are still traveling, they are increasingly choosing destinations like the Dominican Republic, Jamaica, and Mexico instead of popular U.S. spots like Phoenix and Florida.
Cruz explained that while Canadians are still keen to travel, many are simply avoiding the U.S. for the time being.
This shift in travel behavior comes after the U.S. imposed and then paused a 25% tariff on Canadian products under President Trump’s administration. Additionally, Trump’s frequent remarks suggesting Canada should become part of the U.S. have only added to tensions. As a result, Canadians are now boycotting U.S.-made goods, with many removing them from grocery store shelves. Moreover, the number of Canadians traveling to the U.S. by car has significantly dropped. In February 2024, there were roughly half a million fewer crossings compared to the same month the previous year, marking the lowest level since April 2022, according to U.S. Customs and Border Protection.
If this downward trend continues, the U.S. tourism industry could face serious losses. The U.S. Travel Association warned that a 10% drop in Canadian visitors could result in 2 million fewer trips, a loss of $2.1 billion in spending, and 14,000 job losses.
Amir Eylon, president and CEO of Longwoods International, a market research firm, confirmed that the sentiment in Canada toward the U.S. is shifting negatively. “Anecdotally, we’re seeing bookings from Canada to the U.S. down,” he told Business Insider.
In regions like Yosemite National Park, local tourism officials are noticing fewer Canadian visitors. Shirley Horn, secretary and treasurer of the Highway 120 Chamber of Commerce, noted that Canadian tourists seem to be avoiding the area, partly due to uncertainties surrounding national park funding cuts.
