ACTA says it “strongly condemns” the Trump tariffs being slapped on Canadian goods, a move it says could severely hurt Canadian advisors.
“The Association of Canadian Travel Agencies and Travel Advisors (ACTA) strongly condemns the sweeping tariffs imposed by the United States on Canadian goods,” ACTA said on its Facebook page.
“These tariffs are a direct threat to Canadian businesses and consumers,” ACTA president Wendy Paradis said in a statement emailed to Open Jaw. “While travel agencies and travel advisors may not be directly targeted, the economic ripple effects will be unavoidable—higher costs, weaker consumer confidence, and reduced travel spending.
“The United States and Canada share one of the strongest trade relationships in the world. Punitive tariffs on a close ally like Canada are not just bad economics; they undermine decades of cooperation and mutual prosperity,” Paradis said.
“We urge the U.S. government to immediately reverse these tariffs. If they persist, the Canadian government must step up with measures to support affected industries, including travel agencies and travel advisors, who will feel the impact of a weaker economy.”
U.S. President Donald Trump has announced a 25% tariff on most Canadian goods heading into the U.S. Oil and other energy products will be subject to a 10% tariff.
After announcing retaliatory tariffs on American goods coming into Canada, Prime Minister Justin Trudeau on the weekend suggested Canadians stay home for their holidays.
“Now is also the time to choose Canada,” he said. “There are many ways for you to do your part. It might mean checking the labels at the supermarket and picking Canadian-made products. It might mean opting for Canadian rye over Kentucky bourbon, or foregoing Florida orange juice altogether.
“It might mean changing your summer vacation plans to stay here in Canada and explore the many national and provincial parks, historical sights and tourist destinations our great country has to offer,” Trudeau said.
British Columbia premier David Eby last week called the Trump tariffs “a deliberate economic attack" on B.C. families, and suggested residents of the province should stay home for a while.
"We should really be thinking carefully about spending our money in that country," he said. "We will not spend money in a country that wants to do economic harm to Canadians."
“I would say that, overall, the weak Canadian dollar is what I am more concerned about,” TTAND founder and president Flemming Friisdahl told Open Jaw. “Everything we purchase for a vacation is paid in USD or converted from USD to CDN. We really need to see the Canadian dollar getting stronger.
“I would like to hope and think Canadians will reduce their travels to the USA, to protest the tariff. I still believe the Canadian will travel. However, Wendy is accurate in saying we believe overall this could hurt travel agents.”
A recent poll – taken before the Trump tariffs were formally announced – found that 29% of Canadians expect to travel less to the U.S. this year. Eight per cent said they expected to travel more to the States.
A recent Flight Centre Corporate Traveller Canada survey revealed that 85% of Canadian small to medium-sized businesses would reduce cross-border travel for business if tariffs or trade restrictions are imposed.
“This move could have widespread implications for Canada’s economy, disrupting business relationships, supply chains, and the broader tourism and hospitality industries,” Corporate Traveller said.
A Vancouver Island travel agent last week told CTV News that an increasing number of clients are opting not to travel to the United States for vacations following the inauguration of President Donald Trump.
“There’s a lot of people saying avoid the ‘U.S. of A’ now; I’ll go elsewhere but not to the States,” Doreen White, manager of Marlin Travel Group, told the network.
A great deal has been written about the impact of tariffs on automobile production in Canada, but the effects also could be felt on aircraft parts, which potentially could lead to higher airline prices.
“Canada has long been one of the United States’s closest allies and most reliable trading partners,” ACTA said in its statement. “These tariffs harm not only Canadian businesses but also American consumers and companies that rely on seamless trade with Canada. History has proven that protectionist policies do not strengthen economies; they weaken them.”
“We urge the U.S. government to immediately reverse these tariffs on Canada and other key allies. In the meantime, we call on the Canadian government to take decisive action to support travel agencies and travel advisors as they navigate the economic turbulence these policies will create.
“Travel is an essential economic driver, and policies that undermine confidence in our markets threaten the livelihoods of thousands of Canadian travel professionals. The time to act is now.”