Travel to the U.S. fell 25% in 2025 due to President Trump’s policies.
Canadians were not joking around with their U.S. travel boycott. Unimpressed with threats of annexation and tariff policies, the neighbors reduced their trips last year and found other destinations. The result? Canadians spent $3.3 billion less in the U.S. in 2025 compared to the previous year, and small businesses have deeply felt this loss.
In 2025, Canada registered 7.1 million fewer trips to the U.S. compared to 2024. A Canadian government report highlighted a decrease of 25% in return border crossings. The 11-month year-over-year decline has been unprecedented, excluding the COVID-19 pandemic and the 9/11 attacks, and the first four months of 2026 also show a significant decline in visitors compared to 2024. The downward trend remains persistent.
As warned by experts, the slump in tourism had an inverse effect on the U.S., as spending by Canadian visitors was reduced by $3.3 billion. Businesses in the U.S., especially in border states, have felt the difference as Canadian travel slowed to a trickle, prompting marketing campaigns to bring the neighbors back, including attractive discounts. In April, May, and June there has been a slight uptick in travel, but it is still not enough to close the gap to 2024 numbers.
But Canadians did not forego travel altogether — they picked domestic and overseas destinations. Their spending on overseas trips increased by $3.5 billion to reach $22.8 billion last year. Trips to Asia soared 16.7% year over year, while Europe welcomed 13.6% more Canadian visitors.
The Canadian government report also hinted at why this has happened. “Following the change in the U.S. administration in early 2025 and the implementation of America First policies, Canadians’ travel plans shifted abruptly.”
President Donald Trump enraged Canadians after he made comments about making the country the 51st state of the U.S. and raised the prospect of annexing the sovereign nation. The U.S. also slapped its neighbor with trade tariffs, igniting further fury. The actions banded Canadians together against their closest-friend-enemy, and a U.S. boycott followed. Businesses encouraged sales of homegrown brands, including liquor and groceries, and travelers canceled trips.
The situation may not be resolved soon. President Trump has announced new tariffs on Canadian goods, with a 50% duty on exports including wine, cement, dairy, paper, and furniture, moves that are likely to sour relations further.
Border Policies Adding to Traveler Hesitation
Beyond trade disputes and controversial remarks, other U.S. policies are also giving foreign travelers pause. The U.S. does not acknowledge gender identity and only recognizes two sexes — male and female — following an executive order signed by President Trump in 2025. Canada has added a warning to its travel advisory for people with an “X” gender identifier on their passport, noting they “might face entry restrictions in countries” that do not recognize transgender travelers.
Canada also now warns travelers that U.S. border agents can search phones, tablets, laptops, and other electronic devices without providing a reason. Refusing to cooperate can lead to delays or denial of entry. The advisory recommends: “Before crossing the border, put your device in airplane mode to ensure remote files don’t get downloaded accidentally.”
With new tariffs in place and cross-border tensions still running high, a full recovery in Canadian visits to the U.S. looks unlikely in the near term — and budget travelers from Canada appear to have found that their dollars go further elsewhere.
