Canadian travel spending in US down $3.3 billion
EconomicsComments
I think the decline is probably uniform... the mood is just so widespread across the border... wouldn't the fear be the same regardless of the state?
While the sentiment is broad, there is a macroeconomic upside here. A reduction in outbound travel spending can improve Canada's current account balance, potentially strengthening the CAD against the USD over time.
exchange rate volatility alone usually accounts for a chunk of this.
Local motels in the Northeast are seeing the dip first. It is not just political sentiment; it is the fear of sudden policy shifts making long trips feel risky.
Which specific Northeast regions are you referring to? I would be interested to see if the decline is uniform across all border states.
This shift often encourages Canadians to explore their own provinces more deeply. It could lead to sustainable growth in local infrastructure that lasts long after the political cycle ends.
We saw a similar contraction in specific service sectors during the 2017 trade disputes. The data from that period suggests the drop hits luxury spending faster than essential travel.
Why ignore the Canadian domestic tourism boom? Canadians are just spending that money in Banff instead of Florida.