President Trump quickly paused his tariff threats against Canada, but the damage from threatening a 25 percent tariff may already be done
Feb 5, 2025
According to the U.S. Travel Association (USTA), a 10% drop in Canadian visitors could cost the U.S. travel industry $2.1 billion and put 140,000 hospitality jobs at risk, affecting hotels, restaurants, airlines and cruises.
Key takeaways
- On social media, many Canadians enraged by Trump’s threats have independently said they are canceling vacation plans to places like Florida and California that were booked many months ago;
- The states most visited by Canadians are Florida, California, Nevada, New York and Texas. While tourism would be hardest hit, a decline in visitors would also affect retail and transportation;
- Flight Centre, Canada’s largest travel agency, told *Forbes* that it has seen a spike in cancellations since early February for U.S. trips, including high-end bucket list vacations costing more than $10,000 CAD.
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