Canadians Cancelling U.S. Travel:
A Growing Trend Amid Trade Tensions

A shift is happening in Canadian travel habits, and it’s not just about vacation preferences—it’s about economics, politics, and national sentiment. In increasing numbers, Canadians are cancelling or reconsidering their trips to U.S. destinations, a trend that could reshape the North American tourism industry. With rising trade tensions and economic disputes between the two countries, many Canadians are opting to spend their travel dollars elsewhere.

Why Are Canadians Cancelling U.S. Trips?

Recent reports indicate a downturn in Canadian travel to the U.S., driven by several key factors. Firstly, ongoing trade disputes have heightened economic nationalism, with more Canadians choosing to support domestic businesses and travel within their own country rather than contribute to the U.S. economy.

Secondly, the U.S. dollar remains strong against the Canadian dollar, making travel to the States more expensive. With inflation already tightening household budgets, many Canadians are seeking destinations where their money goes further.

Another factor is growing frustration over border wait times, visa restrictions, and complex entry requirements, particularly in the post-pandemic era. The perception that Canada is treated unfairly in trade negotiations has also led some travellers to view vacations south of the border as a form of economic endorsement they no longer wish to make.

Where Are Canadians Travelling Instead?

While domestic travel remains a strong alternative, there is growing interest in destinations outside the U.S.. Canadians are exploring new travel partnerships with countries that are more favourable trade allies or offer better value. Among the emerging options:

Greenland: The Untouched Frontier

A surprising beneficiary of this trend is Greenland. Increasingly accessible via Canadian airlines, Greenland offers breathtaking landscapes, adventure tourism, and a climate-conscious travel experience. With rising interest in Arctic exploration, Canada-Greenland tourism partnerships are expected to grow, with eco-conscious travellers seeking unique and less commercialized destinations.

Mexico: A Stronger Travel Bond

Canada and Mexico have long maintained strong trade and travel ties, and with tensions rising between Canada and the U.S., tourism to Mexico is expected to increase. All-inclusive resorts, affordable flight options, and visa-free travel make Mexico an attractive alternative. Additionally, Canada and Mexico are both part of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), fostering economic collaboration that could extend into the tourism sector.

Panama: The Next Hotspot?

Panama, with its growing tourism industry and business-friendly climate, has also been gaining traction among Canadian travellers. Direct flights from Canadian cities and Panama’s use of the U.S. dollar (without the U.S. political baggage) make it an appealing destination. The country’s combination of beaches, rainforests, and urban experiences rivals that of Florida, making it a strong alternative for sun-seeking Canadians.

A Lasting Shift?

As trade tensions between Canada and the U.S. continue, it remains to be seen whether this travel shift is a temporary reaction or a long-term realignment. If more Canadians choose to explore other markets, this could impact U.S. tourism-dependent economies while strengthening Canada’s relationships with alternative destinations. For now, the message is clear: Canadians are voting with their wallets, and many are choosing to look beyond the U.S. for their next getaway. Now if only we could make it more affordable to fly within Canada.