Canadian Travel to US Declines Amidst Tariffs and Immigration Concerns

Canada-US travel has soured due to recent tariffs imposed by President Donald Trump, which have led to concerns over tightening immigration requirements and increased scrutiny of visitors. Data from Cirium shows a flat airline capacity on routes between Canada and the US for the second quarter, despite an overall rise in travel out of Canada.

Airlines have increased flights from Canada to all destinations by 5.0%, but US destinations still account for only 28% of Canadian air travel, with key tourism spots and major cities experiencing a noticeable decline. The top six affected US cities are Las Vegas, Fort Lauderdale, New York, Los Angeles, Orlando, and Miami.

However, some US cities like Chicago, Denver, Atlanta, San Francisco, and Nashville have seen an increase in airline seats, suggesting resilience. Despite this, forward scheduled capacity shows a significant negative demand trend, with bookings on US routes through September dropping by 70% compared to last year.

Many Canadians are opting to travel within Canada instead, with domestic route capacity rising 7.3%. European destinations such as Paris, London, and Munich have also seen an increase in airline seats. The biggest growth is on routes to Asia, with Hong Kong and Seoul experiencing significant increases in seat additions.

Some airlines may lower fares as an incentive to draw more Canadian travelers, but Flair Airlines has reduced its US capacity by nearly 40% in the second quarter, suggesting a lack of confidence in low fares addressing the concerns.

Source: https://www.forbes.com/sites/marisagarcia/2025/04/06/these-6-us-cities-lost-the-most-airline-seats-as-canada-reacts-to-trump-policy