In 2025, Canadians significantly reduced their travel spending in the United States, with expenditures dropping by $3.3 billion compared to the previous year. This decline, from $22.1 billion in 2024 to $18.8 billion in 2025, illustrates a notable shift in Canadian travel preferences, influenced by ongoing political and trade tensions between the two nations.
As Canadian interest in U.S. travel waned, spending on trips to other international destinations surged. Canadians increased their spending by $3.6 billion on travel outside the United States, reaching $22.8 billion. This trend was most evident in travel to Europe and Asia, which saw rises of nearly 14% and 17%, respectively, as Canadians opted for these regions over their southern neighbor.
The decrease in travel was also reflected in border traffic data throughout 2025. Return trips from the U.S. to Canada, whether by road or air, experienced a sharp 25% decline compared to the previous year. The most significant drop occurred in July, with border crossings plummeting by roughly one-third, marking a peak in the trend away from U.S.-focused travel.
As 2026 progresses, the shift in Canadian travel behavior continues, with travel volumes to the United States remaining below previous levels. Officials have noted this sustained pattern, suggesting that Canadian travelers are increasingly favoring destinations beyond the U.S.