Canadian Travel Boycott Of U.S. Could Cost $2.1 Billion, U.S. Travel Association Warns

Posted by author February 3, 2025 Travel

Canadian Travel Boycott Of U.S. Could Cost .1 Billion, U.S. Travel Association Warns

Topline

The U.S. hospitality industry is bracing for huge losses as Canadians are urged to cancel trips to the U.S. in response to President Donald Trump’s tariffs on most of Canada’s goods.

A perennial top destination for Canadian travelers, Walt Disney World in Orlando, Fla., may see … [+] fewer Canadian visitors in 2025 due to fallout from President Trump’s tariffs. (Photo by Gary Hershorn)

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Key Facts

Trump’s tariffs on Canada could drive down the volume of Canadian visitation and tourist spending in the United States, the U.S. Travel Association (USTA) warned Monday.

In a speech televised throughout Canada on Saturday evening, Canadian Prime Minister Justin Trudeau urged citizens to reconsider visiting the U.S. and travel domestically instead.

David Eby, premier of British Columbia, said Canadians should “really be thinking carefully about spending our money in that country” as the U.S. “wants to do economic harm to Canadians.”

Flight Centre, Canada’s largest travel agency, told Forbes it has seen “a surge of customers” already canceling U.S. vacations and rebooking elsewhere, “including bucket-list and milestone experiences valued at over $10,000 CAD.”

Even a 10% reduction in Canadian inbound travel could translate to 2 million fewer visits, which would mean $2.1 billion in lost spending and 140,000 jobs jeopardized in the hospitality and related sectors, according to USTA projections.

The top five most-visited states by Canadians—Florida, California, Nevada, New York and Texas—could see significant declines, according to USTA data

Key Background

Canadian visitors make up the single largest group of foreign inbound tourists to the U.S. The impact of a travel boycott would be most keenly felt in states like Florida, where, in 2023, Canadians made up 38% of all foreign tourists to the state, according to Visit Florida. And in Texas, Canada is the second-largest international visitor market, driving $403.3 million in travel spending in 2023, according to the state’s tourism organization.

Big Number

$20.5 billion. That’s how much 20.4 million Canadian visitors—the most from any single country—spent in the U.S. last year, according to the National Travel and Tourism Office.

Crucial Quote

“Now is the time to choose Canada…It might mean changing your summer vacation plans to stay here in Canada and explore the many national and provincial parks, historical sites and tourist destinations our great country has to offer,” Trudeau told Canadians.