According to recent data from Statistics Canada, the number of Canadian residents returning from the U.S. in August experienced a significant decline, falling by 29.7% to 2.9 million trips. Simultaneously, U.S. residents visiting Canada also decreased, but to a lesser extent, resulting in more Americans travelling to Canada than Canadians travelling to the States for the third time since June 2006. While Canadian travel to the U.S. decreased, overseas trips by Canadians and non-U.S. residents visiting Canada both saw increases. The growth in overseas visitors was primarily due to travelers from Europe and Asia.
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Canadian travel to the US has plummeted for the seventh consecutive month, with car trips down 36.9% and air travel down 25.8% in July compared to the previous year. This decline is attributed to a combination of factors, including fallout from antagonistic trade policies and threats from the White House, as well as Canada’s ongoing cost of living crisis. While US residents’ land travel to Canada also decreased, air travel saw a slight increase. The diverging economic trajectories of the two countries further contribute to these trends.
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February marked the second consecutive month of declining Canadian car trips to the U.S., with a 23% decrease compared to the previous year. This significant drop follows similar declines in January, unprecedented since March 2021. Contributing factors include President Trump’s economic threats against Canada, a weakened Canadian dollar increasing travel costs, and severe snowstorms impacting travel conditions. Air travel to the U.S. also experienced a slight decrease.
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John Q. Hosedrinker