President Donald Trump's recent threats to annex Canada as the 51st state have ignited a strong Canadian boycott of US holidays, a move that could inflict a £1.6 billion ($2 billion) economic blow to the United States and lead to the loss of 14,000 jobs within its tourism sector.
The origins of the boycott stemmed from a combination of rising tensions between the two countries and concerns over national sovereignty. The impact of this protest has quickly spread, affecting major US tourist hotspots, including cities like New York and Los Angeles, which heavily rely on Canadian visitors.
With Canadian citizens now turning to alternative destinations, the economic repercussions are felt not only in the tourism industry but also in sectors like retail, hospitality, and transportation.
Trump's Provocation Ignites a Canadian Backlash
Trump's annexation rhetoric, including a White House claim that Canadians would 'no longer face international travel hassles' as the 51st state, has stoked fury north of the border. Coupled with 25% tariffs on Canadian goods imposed in February, the rhetoric has galvanised a 'Buy Canada' movement. New PM Mark Carney declared, 'Canada will never be part of America,' urging citizens to holiday at home or elsewhere.
Statistics Canada reports a 13% drop in US-bound air travel and a 23% decline in car crossings for February, while Flight Centre notes a 40% plunge in US bookings. This patriotic surge, backed by calls from former PM Justin Trudeau, is redirecting Canadian travel to Mexico and the Caribbean.
US Tourism Faces a Deepening Crisis
Canadians, historically the top international visitors to the US with 20.4 million trips and £16 billion ($20.5 billion) spent in 2024, are now a fading lifeline. The US Travel Association warns a 10% spending drop could cost £1.6 billion ($2 billion) and 14,000 jobs, but losses may climb higher—source suggests £3.2 billion ($4 billion) if trends persist.
Las Vegas saw a 9.4% drop in Canadian visitors last month, New York 11%, and Buffalo, reliant on 35-45% Canadian traffic, reported a 14% bridge crossing decline.
Airlines like WestJet and Flair are slashing US routes by 6.1% for spring, with Flair abandoning Vancouver-to-Phoenix flights. Border towns like Old Orchard Beach, Maine, and Niagara Falls, New York, brace for a lean season as Visit Buffalo Niagara's web traffic from Canada falls 52%.
Lessons and Opportunities for UK Observers
For UK audiences, this boycott signals shifts with global reach. A battered US tourism industry, projected at £179 billion ($223.64 billion) for 2025, might pivot to lure British travellers with discounts, especially to states like Florida and New York hit hard by the Canadian exodus.
A stronger US dollar against a tariff-weakened Canadian loonie could also enhance UK-Canada trade, particularly in tourism and exports. X posts reveal Canadian resolve, with some advocating a total US boycott, hinting at lasting sentiment. UK businesses should monitor US border economies—job losses could ripple into markets—and track Trump's policies viasources.
A stabilised US post-boycott might ease trade tensions, offering UK firms a chance to fill gaps left by Canadian retreat. Stay proactive: explore US travel deals or bolster ties with Canada's growing domestic market.
Trump's gambit has turned a neighbourly bond into an economic standoff, costing the US dearly as Canadians shun its shores. UK observers should watch this fallout for strategic openings in travel and trade.
