Where Data Tells the Story
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The number of Canadians traveling on holiday to the United States dropped yet again in July compared to one year before. Data from Statistics Canada shows that Canadian resident return trips from the United States were down 36.9 percent for those traveling by car, while by air they were down by 25.8 percent. This marks the seventh consecutive month of year-over-year declines. Last month, a total of 1.7 million Canadian residents returned to Canada by car, while 383,700 Canadian residents returned by air.
This drop is largely attributed to Canadian backlash to U.S. President Donald Trump’s rhetoric and tariffs in recent months, with boycotts expanding from products to travel. According to a recent survey by market research firm Longwoods International, 60 percent of Canadians say U.S. policies make them less likely to visit, while 36 percent said they had planned a U.S. trip but have since cancelled and 40 percent said they are replacing a U.S. trip with a domestic getaway. Another factor likely influencing travel is the unfavorable exchange rate, making the U.S. more expensive for Canadians.
Despite Canada being a cheaper option for Americans, U.S. residents are holding back from traveling to Canada too. New data shows a 7.4 percent decline in the number of U.S. residents journeying to Canada by car (1.8 million) compared to the same month in 2024. This is the sixth consecutive month of year-over-year declines. However, by air, there was a 0.7 percent increase in U.S. arrivals in July (at 714,700).
Canada is a major market for the U.S. travel industry. According to the International Trade Administration, the country ranked second in 2024 for international visitor arrivals to the U.S. following only after Mexico (1,709,192). The top five were rounded off with Canada (1,497,711), the United Kingdom (332,895), Brazil (225,255) and Japan (166,105).