International inbound travel to U.S. shows mixed recovery - CNBC

Canadian Travel Drops Sharply in First Half of 2025

According to recent data from the U.S. Travel Association, Canadian travel has experienced a significant decline in the first half of 2025. The numbers reveal that visits from Canada have dropped by nearly 19% compared to the same period last year.

Impact of COVID-19 and Global Economic Uncertainty

The sharp decline in Canadian travel can be attributed to various factors, including the ongoing impact of the COVID-19 pandemic and global economic uncertainty. As the world continues to navigate the challenges posed by the virus, travelers are becoming increasingly cautious and risk-averse.

Travel Restrictions and Border Measures

One major factor contributing to the decline in Canadian travel is the ongoing presence of travel restrictions and border measures. The U.S.-Canada border has experienced significant disruptions due to the pandemic, including enhanced health measures, testing requirements, and quarantine protocols. These restrictions have made it more difficult for Canadians to travel to the United States.

Economic Uncertainty and Currency Fluctuations

Another factor contributing to the decline in Canadian travel is economic uncertainty. The ongoing global economic downturn has led to fluctuations in currency exchange rates, making travel to the United States more expensive for Canadians. This has deterred many travelers from planning trips across the border.

Tourism Industry Impacts

The decline in Canadian travel has significant implications for the tourism industry in both Canada and the United States. The loss of revenue from international visitors can have far-reaching consequences, including job losses, business closures, and reduced economic activity.

Tourism Marketing Strategies

In response to the decline in Canadian travel, tourism boards and marketing organizations are implementing new strategies to attract international visitors. These initiatives focus on highlighting the unique attractions, experiences, and value propositions of destinations in both Canada and the United States.

Canadian Tourism Industry Response

The Canadian tourism industry is taking steps to address the decline in travel. Governments, tourism boards, and travel operators are working together to promote Canadian destinations and offer incentives to attract international visitors.

U.S. Travel Association Insights

The U.S. Travel Association has offered insights into the impact of the decline in Canadian travel on the tourism industry. According to the association, the loss of revenue from international visitors can have significant consequences for businesses and communities that rely on tourism.

Projections for Future Growth

Despite the challenges posed by the pandemic and economic uncertainty, there are projections for future growth in Canadian travel. As vaccination rates increase and global health measures improve, travelers are becoming more confident in exploring new destinations. With targeted marketing strategies and initiatives to promote Canadian tourism, it is likely that visitor numbers will rebound in the coming years.

Conclusion

The decline in Canadian travel in the first half of 2025 has significant implications for the tourism industry. However, with a focus on promoting unique attractions, experiences, and value propositions, there are opportunities for growth and recovery. As vaccination rates increase and global health measures improve, it is likely that visitor numbers will rebound in the coming years.

Recommendations

Based on the decline in Canadian travel, we recommend:

  • Tourism boards and marketing organizations implement targeted strategies to attract international visitors.
  • Governments provide incentives for businesses and communities to promote Canadian destinations.
  • The tourism industry invests in digital marketing initiatives to reach a wider audience.
  • Travel operators offer flexible and competitive packages to appeal to budget-conscious travelers.

By working together, we can support the growth of Canadian travel and promote a more sustainable tourism industry.