Analytics Economy North America Politics USA World

Declining Canadian Tourism Impacts New York City’s Economy

Declining Canadian Tourism Impacts New York City’s Economy
Janice Chung for The New York Times
  • PublishedMarch 20, 2025

New York City has long been a popular destination for Canadian travelers, second only to British visitors among international tourists, the New York Times reports.

In 2024, more than one million Canadians visited the city, spending an estimated $600 million. However, a noticeable decline in Canadian tourism this year is raising concerns about potential economic repercussions for both the city and the state.

The downturn is attributed in part to recent political tensions between the US and Canada. Many Canadian travelers—ranging from school groups and retirees to families and honeymooners—have canceled planned visits, citing concerns over new tariffs and diplomatic rhetoric. As a result, the tourism industry, which has been working to recover from the effects of the pandemic, is facing additional challenges.

Tour operators and businesses catering to Canadian visitors have reported significant declines in bookings. For instance, a tour company in Ottawa that typically sends multiple buses to New York City has seen reservations drop to zero. Flight bookings and vehicle crossings at key border points have also decreased, with some travel agencies reporting a 40% reduction in leisure travel to the US from Canada.

This shift is not only affecting businesses in New York City but also in border towns that rely on Canadian shoppers and tourists. Cities like Rochester and Buffalo, which have historically benefited from Canadian day trips for shopping and dining, are experiencing similar declines.