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5d ago

Canada-U.S. Travel Plummets in May With 38% Drop in Car Trips

Wary of U.S. tariff threats, Canadians are pivoting to domestic destinations after five straight months of travel declines

Canadian and U.S. flags fly atop the Peace Arch monument at the Douglas-Peace Arch border crossing in Surrey, B.C., Monday, Nov. 8, 2021. THE CANADIAN PRESS/Darryl Dyck
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Mount Baker in Washington is seen in the distance as a WestJet Airlines Boeing 737 Max aircraft arrives at Vancouver International Airport in Richmond, B.C., on Jan. 21, 2021.

Overview

  • Statistics Canada reports Canadian return trips from the U.S. by automobile fell 38.1% to 1.3 million in May while air returns dropped 24.2% to 488,800 year-over-year.
  • Visits by U.S. residents to Canada also declined, with car crossings down 8.4% to 1,044,700 and air arrivals slipping 0.3% to 439,800 in May.
  • Air Canada, WestJet, Flair Airlines and Air Transat have cut flight capacity to U.S. destinations such as Florida, Las Vegas and Arizona in response to lower demand.
  • The U.S. Travel Association warned that a 10% fall in Canadian inbound tourism could cost $2.1 billion in spending and put 140,000 jobs at risk, with current losses far exceeding that benchmark.
  • A Leger Marketing poll finds 77% of Canadians plan to travel within Canada this summer, up from 69% last year, and only 10% intend to visit the U.S.