FREE FALLING

20% Drop in US Travel ‘Should Sound Alarm Bells for Industry’

Airport Travel Canada

Axios Research indicates foreign visits into the U.S. fell off a cliff in March.

The number of visitors passing through customs at the 10 busiest US airports fell by nearly 20% in March of 2025 vs 2024.

“The findings suggest a sudden reluctance to visit the US isn't a purely Canadian phenomenon and should sound alarm bells for the country's $1 trillion-plus travel industry,” Axios wrote.

“Trade wars, a volatile economic and political climate and fears of detainment or harassment may be dissuading foreigners from visiting the U.S.,” Axios stated. “Several American allies, including Canada, France, Germany and others, recently issued new travel warnings or advisories about U.S. travel.”

Meanwhile, the Travel Health Insurance Association of Canada (THIA) 2025 Smart Traveller Survey finds that 61% of Canadians are planning to travel this year, but a strong majority (70%) are unlikely to visit the U.S., primarily due to the current political environment.

THIA said the top reasons Canadians are avoiding travel to the U.S. this year include:

-     To support Canada during the tariff dispute (57%)

-     Because of the political leadership (51%)

-     Because the Canadian dollar is too weak (34%)

Canadian airlines have been steadily reducing their exposure in the US and adding flights to Europe and Asia. Air Canada recently stated that traffic from Canada to the US is down about 10%.

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Jim Byers

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Jim Byers is a freelance travel writer based in Toronto. He was formerly travel editor at the Toronto Star and now writes for a variety of publications in Canada and around the world. He's also a regular guest on CBC, CTV News, Global News and other television and radio networks.