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Canadian Travel to USA Continues to Fall as Tariff Dispute Lingers

Flags of Canada and the United States. Unsplash Photos

New travel numbers suggest Canadians made fewer return trips from the United States last month compared to the same time last year, with a sharp decline in trips by car and by plane.

Statistics Canada says the number of Canadians returning from the U.S. by car last month was down almost 32% compared to March 2024. That’s a significant increase from February, when car trips from Canada to the States were down 23%.

It’s also the third straight month of decline for Canadian car trips to the US.

Stats Can says return trips by air from the U.S. were down 13.5% last month compared to March 2024. That’s a significant increase from February, when the agency said return air trips from the U.S. were down 2.4% versus the same month in 2024.

By comparison, return air trips to Canada from countries OTHER than the U.S. were up nine per cent in March of this year versus 2024, which suggests Canadians are replacing U.S. trips with visits to other destinations. Experts have said they see more Canadians choosing trips to Europe, Mexico and the Caribbean these days.

A report by the Travel Health Insurance Association (THIA) of Canada this week found that a sizeable 70% of Canadians intend to avoid travel to the U.S. this year. THIA said the top reasons Canadians are avoiding travel to the U.S. this year include:

– To support Canada during the tariff dispute (57%)
– Because of the political leadership (51%)
– Because the Canadian dollar is too weak (34%)

Canadian airlines have been steadily reducing their exposure in the US and adding flights to Europe and Asia. The government of Canada last week updated its advisory to warn residents travelling to the U.S. that they may face scrutiny from border guards and the possibility of detention if denied entry.

It’s not just Canadians who appear to be bypassing U.S. travel. Axios Research recently stated that the number of visitors passing through customs at the 10 busiest US airports fell by nearly 20% in March of 2025 vs 2024.

“The findings suggest a sudden reluctance to visit the US isn’t a purely Canadian phenomenon, and should sound alarm bells for the country’s $1 trillion-plus travel industry,” Axios wrote.

The U.S. Travel Association earlier this year said a loss of 10% of Canadian visitors would cost the U.S. economy $2.1 billion and also cost 14,000 jobs in the States. It appears the damage is greater than that from Canada, also from other countries around the world.

Border cities such as Buffalo, Detroit and Seattle/Bellingham, Washington are particularly vulnerable to a drop in car traffic from Canada.

U.S. President Donald Trump on April 9 said he’s putting a pause on so-called reciprocal tariffs on many countries, but it’s unclear if that decision will ease concerns from potential foreign visitors.

 

 

 

 

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