Prime Minister Mark Carney and U.S. President Donald Trump stood together for a group photo during the G7 Summit held in Kananaskis, Alberta, on Monday, June 16, 2025. National Post
People driving between the U.S. and Canada now face shorter waits at crossings like the Peace Bridge. Empty lanes show a big change from past years. Travel by car is at its lowest point ever, even worse than after 9/11 or the 2008 financial crisis.
Laura Presley, a Canada analyst, says, “We are seeing bigger drops in car travel than during those earlier crises.” This sharp change started early this year.
Trade tensions and stricter rules reduce travel
U.S. President Trump’s trade war and tougher immigration rules have pushed Canadians to stay home. Many avoid shopping in the U.S. and cut back on travel south. Americans, unsure if they are welcome in Canada, also travel less.
Cities on both sides work hard to attract visitors with events and ads. But the drop in visitors is not easy to stop.
Travel drop worse than past crises
After 9/11, Canadian car trips to the U.S. dropped 30%. The 2008 crisis saw a 23% drop. This year, the drop hit 33% in June alone. Air travel from Canada to the U.S. also fell by 22%.
Canadians spent $20.5 billion in the U.S. last year. The U.S. warns a 10% drop in Canadian visitors could cost $2.1 billion and 140,000 jobs.
American visits to Canada also fell but less sharply. Car trips down 10%, air travel down less than 1%. An economist says this may cause a $1 billion loss for Canada.
Calgary stands out with growing tourism
Most cities see fewer U.S. visitors, but Calgary is an exception. “We’re beating the trend,” says Alisha Reynolds from Tourism Calgary.
Calgary’s U.S. visitor numbers and spending both rose in early 2025. The city attracts visitors year-round with sports and cultural events. It markets directly to U.S. travelers to keep relations strong.
The Calgary Stampede drew nearly 1.5 million people this year, just slightly less than last year.
Marketing campaigns try to win back travelers
Toronto launched a “100%” campaign to remind Americans they are welcome. Ontario’s tourism encourages visitors to “Spend less, do more” with a good exchange rate. Quebec offers a “Come Hug it Out” message to make Americans feel safe and welcome.
U.S. states are also working to bring back Canadian visitors. California runs a “California Loves Canada” campaign with hotel discounts. Florida holds events in Canada and offers giveaways to attract visitors.
Recovery looks slow amid tensions
Trade conflicts and possible new tariffs threaten a quick return of visitors. Economists do not expect much improvement soon. A small recovery might happen late in 2025 if trade talks improve.
Fred Dixon from Brand USA says, “The USA is open and ready to welcome travelers.” But the drop in cross-border travel is still a big challenge for both countries.
