By Rajwa Quasim
Canadian travel to U.S. has fallen sharply with new data showing a decline of 25% in 2025, as trade disputes and political tensions stay heightened between the two neighboring countries.
According to the Canadian government data, Canadians took 29.1 million trips to the U.S. last year spending about $12.8 billion in 2025, down from 39 million trips and spending about $15.6 billion in 2024. Meanwhile, spending on trips to destinations outside U.S. and within Canada rose showing that they redirected their vacations elsewhere and didn’t stop traveling altogether.
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This shift comes as President Donald Trump’s repeated remarks on Canada becoming the “51st state” and increasing tariffs on Canadian goods to which Canadian Prime Minister Mark Carney said that Canada is not for sale. Trump administration also including an additional 50 percent levy announced last week on some $20 billion in automotive, alcohol, dairy and other products from Canada. Trump backed from extending the U.S.-Mexico-Canada Agreement earlier this month.
The decline in tourism impacted U.S. tourism industry, affecting sectors that relied on Canadian tourists. The data shows that; people chose to travel within Canada or travel overseas, including Europe and Asia. As per the National Travel Survey, tripes to Asia and Europe increased by 16.7% and 13.6% respectively. Domestic travel by Canadians increased by 5.1 million.
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The White House disputes this narrative that its policies are hurting American tourism. White House spokeswoman Anna Kelly said the administration has strengthened U.S. tourism by making American cities safer and by bringing major global events like FIFA World Cup and Los Angeles Olympics. She added, “the administration also spared no effort giving our country’s 250th anniversary the spectacle it deserved, which was witnessed by visitors from around the globe.”
In 2025, the northern U.S. border towns launched “Canadians-only” deals to win back tourists after cross border travel collapsed. In North Country alone, 70% of leisure tourism came from Canadians, businesses are facing sharp decline in booking. The cancellations began as soon as Trump proposed making Canada the “51st state.” In response, local chambers launched discount campaigns hoping to bring back the visitors.