A recent Congressional report reveals that the drop in Canadian tourism to the United States, in response to U.S. President Donald Trump’s actions, is significantly hurting businesses in several border states. The report, prepared by the Democrat minority of the U.S. Congress’s joint economic committee, highlights how states along the Canada-U.S. border are being particularly affected.
The decrease in Canadian visitors is due to Trump’s tariff policies and controversial remarks about Canada. According to the report, in 2024, Canadian tourism contributed $20.5 billion to the U.S. economy and supported 140,000 American jobs. However, after Trump’s actions, border communities are seeing a sharp decline in cross-border travel. The report details how passenger vehicle crossings between January and October 2025 dropped by nearly 20%, with states like Vermont seeing declines of over 28%.
Business Losses and Economic Impact
Business owners along the border are reporting fewer Canadian tourists, more vacancies, and declining sales. For instance, in New Hampshire, reservations for state-run campgrounds dropped by 71% in early 2025, and one hotel in North Conway reported 30% of its rooms were empty on weekends that would normally sell out. Similarly, businesses in Maine, Montana, and New York have also seen substantial losses, with passenger vehicle crossings down by 25-30% and businesses cutting staff in response.
In Montana, Canadians made up nearly 80% of international visitors in 2024, contributing $170 million to the state’s economy. In 2025, border crossings were down by 19%, and a hotel there reported a $38,000 loss after a Canadian sports team canceled its booking.
Long-Term Effects and Business Strain
The report also points out that this drop in Canadian tourism could have long-lasting effects. Many businesses, like Christa Bowdish’s Old Stagecoach Inn in Vermont, fear that the damage will be enduring. Bowdish, who had to lay off employees and reduce hours, expressed concern that Canadians may start looking for other destinations, and the emotional toll on relationships between the two countries could take years to heal.
The report underscores the direct connection between Trump’s trade policies and the harm to American businesses in border states. The Canadian boycott is not just an economic issue but one that affects the longstanding ties between the U.S. and Canada.
