Canadian Tourism Decline: A Blow to American Businesses

Introduction

A recent congressional report reveals troubling findings. A decline in Canadian tourism is impacting American businesses, particularly in border states. The downturn is attributed to actions taken by former U.S. President Donald Trump.

Economic Contributions of Canadian Tourists

“In 2024, Canadian tourism contributed $20.5 billion to the U.S. economy,” states the report. It supported 140,000 American jobs. However, Trump’s tariff policies caused a decline, affecting states most reliant on Canadian visitors. This connection is vital for many entrepreneurs.

Decline in Border Crossings

The number of passenger vehicles crossing the border dropped by nearly 20% between January and October, compared to 2024. Vermont saw a 28% decline. Businesses report fewer tourists, more vacancies, and dwindling sales.

State-by-State Impact

New Hampshire

In New Hampshire, Canadian visits decreased by 30%. The area experienced a 71% drop in campground reservations. One hotel owner reported rooms empty on weekends usually sold out.

Maine

In Maine, border crossings were down 25%, impacting the CAT Ferry service. Business figures were strikingly low compared to previous years.

Montana

In Montana, Canadians made up nearly 80% of international visitors in 2024. Yet, 2025 showed a 19% decline in crossings. Diane Medler highlighted the need for positive signals from both governments.

Further Economic Repercussions

Ridership on the Clipper Navigation ferry, connecting Vancouver Island and Seattle, plummeted by 30%. Employee layoffs ensued. In New York, 83% of businesses noted a drop in Canadian customers, with many reducing staff.

The Role of Politics

The committee’s report, prepared by the Democrat minority, cites Trump’s rhetoric and tariff policies as reasons behind the diminished Canadian visits. Tariffs and talk of annexation soured diplomatic ties, hampering cross-border relationships.

Statements from Officials

Sen. Maggie Hassan remarked, “Canadians have long visited border states to see family, enjoy our hospitality, and shop.” She lamented the negative impact of Trump’s provocations on Canadian tourism.

Local Business Owners’ Voices

Kyle Daley, owner of Soloman’s Store in New Hampshire, expressed concern: “Empty parking lots are a constant reminder of the border’s friction.” Similarly, Old Orchard Beach’s Moshe Agam experienced a 50% drop-off in business.

Lasting Damage

Business owners like Christa Bowdish of Vermont’s Old Stagecoach Inn worry about long-lasting effects. She fears Canadians will seek new destinations, citing emotional damage that won’t heal quickly.

Conclusion

The report underscores the intertwined nature of U.S.-Canada relations. It suggests fostering stronger diplomatic ties and addressing political tensions. A coordinated effort could reverse the decline in Canadian tourism, vital to many American businesses.

Explore the complete report here.

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