U.S. tourism representatives are intensifying efforts to win back Canadian travelers as recent data shows the first signs of a recovery in cross-border movement. During the inaugural Brand USA Travel Week in Toronto and Montreal, a record-sized delegation of 48 destination exhibitors met with industry professionals to strengthen ties despite ongoing political friction between the two nations.

Why has Canadian travel declined?

The decline in Canadian travel to the United States was driven by significant economic and political shifts. In 2025, Canadian-resident return trips to the U.S. fell by 25.4%, contributing to the first U.S. tourism deficit since 1999. Statistics Canada linked this slump to several factors:

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  • Geopolitical tensions and "America First" trade policies.
  • New requirements for Canadians staying in the U.S. longer than 30 days.
  • A shift in consumer preference toward domestic or European travel.

Some regions felt the impact more acutely, such as Las Vegas, which saw Canadian visitation drop by 17.4% last year.

Is Canadian travel to the U.S. recovering?

While overall numbers remain below 2024 levels, recent trends suggest a turnaround. Brand USA President and CEO Fred Dixon noted that visitation has been climbing over the last five months. Specifically, September 2026 data showed that cross-border trips increased by 6.8% compared to the same month in 2025.

This momentum is supported by upcoming infrastructure changes. Air Canada is expected to add routes to Louisville, Indianapolis, and Newark, while United Airlines will introduce new service from Newark and Denver. These developments aim to stabilize the relationship as the U.S. seeks to maintain Canada as its second-largest international source market.

What to watch next

Industry experts are monitoring whether these small increases in air and automobile travel will translate into long-term habits. As the "snowbird" season approaches, the ability of U.S. destinations to compete with rising costs and political rhetoric will be critical to reversing the multi-billion dollar spending gap.