Global attitudes towards the United States as a tourism destination are plunging. Travel pressures, exchange rate shifts and increasing economic uncertainty have all damaged the reputation of the American travel sector.
Canadian travellers are increasingly turning to domestic destinations instead of heading south. In July, Canada recorded its seventh consecutive month of declining travel by Canadians to the U.S..
Political tensions appear to be playing a role in this shift. U.S. President Donald Trump’s repeated remarks about wanting to annex Greenland and make Canada the “51st state” continue to strain relations between the U.S. and its allies.
For travellers, these tensions are one more deterrent for travelling to the U.S. About three-quarters of Canadians say Trump is “dangerous” and favourable views of the U.S. are at an all-time low.
Impact south of the border
This year, many Canadians reconsidered plans to visit the U.S. for business, leisure or school-related excursions, and some also boycotted American products.
A spring 2025 prediction by Tourism Economics anticipated a 20 per cent drop in Canadian travellers to the U.S.. The U.S. Travel Association trade group warned that even a 10 per cent decrease would translate to two million fewer visits and US$2.1 billion in lost spending.
By the end of the summer, year-to-date Canadian visitation numbers to the U.S. had dropped about 25 per cent, confirming that U.S.-inbound travel continues to under-perform.
These choices also reflect anxiety over border-related issues. Measures such as selected detainment and asking Canadians to register with Homeland Security if they plan to stay in the U.S. for 30 days or more has raised concerns among those accustomed to a less intrusive cross-border experience, with some even describing the U.S. as a “hostile state.”
U.S. border cities feel the pinch
The consequences of declining travel are being felt most acutely in U.S. border cities that rely heavily on Canadian visitors. Canadians are no longer “flooding the streets of Seattle,” but instead are supporting their own tourism economy.
Cities such as Buffalo, N.Y., hoped to entice Canadians with welcoming billboards and special incentives over the summer. But according to Patrick Kaler, CEO of Visit Buffalo Niagara, it was clear their efforts were not working, and the customary wave of Canadian visitors never arrived.
The ripple effects extend well beyond traditional tourism destinations as well. One New York golf club reported losing US$400,000 in Canadian revenue, for instance.
It’s not just Canadian travellers, either. While Canada has seen an increasing number of European visitors, the U.S. recorded a 17 per cent decline in European arrivals this past spring, also likely due to the Trump administration’s policies and general actions.
Canadian tourism grows stronger
While U.S.-bound travel declines, domestic tourism in Canada is on the uptick. Tourism is the country’s second-largest service export, bringing $31 billion into the country last year, according to Destination Canada.
Unlike traditional exports, where goods are shipped out of the country, tourism brings the world’s travellers to Canada — and increasingly, keeps Canadians exploring at home.
Canadians took a total of 77.4 million trips within Canada in the first quarter of 2025. This shift has been a welcome trend to local tourism organizations and businesses that have been increasingly relying on the support of local travellers.
But the increasing fear and uncertainty of American tariffs, policies and bilateral relationships are also causing unrest among Canadian tourism businesses.
The impact from Trump’s tariffs are felt particularly strongly by many Indigenous business owners who are now navigating inflationary pressures and workforce shortages.
Looking forward
The downturn in U.S.-bound travel could extend beyond the summer as travel trends continue to evolve. The statistics underscore the challenges that the U.S. tourism sector is facing and is likely to continue to face in to the future.
With World Tourism Day approaching on Sept. 27, travel and tourism professionals are encouraged to reflect on the industry’s development.
A central goal of World Tourism Day is to inspire “awareness among the international community of the importance of tourism and its social, cultural, political, and economic value.”
As tourism experts, we continue to promote Canadian generosity through professionals and travellers who keep kindness at the centre of their travel — an action that may be even more important than many realize.
Intentional travel and tourism can foster both peace and understanding. While the focus of World Tourism Day and the United Nations World Tourism Organization is to bring the world closer, this year Canadians worked to bring Canada itself closer together.
Written by Moira A. McDonald, Associate Professor, Director, School of Tourism and Hospitality Management, Royal Roads University and Ann-Kathrin McLean, Assistant Professor, School of Tourism and Hospitality Management, Royal Roads University
This article is republished from The Conversation under a Creative Commons license. Read the original article.
