Canadian tourism to the U.S. has seen a significant decline, particularly in states like New York, following the implementation of 50% tariffs on Canadian goods and Canada's retaliatory tariffs on $20 billion worth of U.S. goods. Statistics Canada reported a "persistent shift away from the United States by Canadian residents in their travel preferences." In 2025, the U.S. experienced a 22% drop in Canadian visitors, amounting to four million fewer travelers compared to the previous year, according to the U.S. Commerce Department's National Travel and Tourism Office (NTTO).
New York State has been particularly affected, with Canadian visitation falling by over 26% and spending by Canadian visitors dropping 28% in 2025. This downturn has prompted the state to launch campaigns like "NY Loves Canada" and New York City's "Northern Neighbour Deal." These initiatives offer Canadian tourists significant discounts, including up to 30% off at nearly 100 hotels, restaurants, and attractions across the city, with some state-wide promotions running through December.
The "Northern Neighbour Deal" is specifically designed to run from August 18 to September 7, coinciding with the Labour Day holiday. Before the pandemic, New York City welcomed approximately one million Canadian visitors annually, but this number fell to about 800,000 in 2025, a 19% decrease. Officials anticipate a slight recovery to 820,000 visitors this year, though still below pre-pandemic levels. Vermont is also participating with its "100% Love for Canada" promotion.
While some analysts note a rebound in Canadian travel to the U.S. recently, the overall volume has not returned to levels seen before the tariff dispute began. Businesses near the Canadian border, such as Artpark and the Aquarium of Niagara, have reported substantial revenue losses and visitor declines, some experiencing a 50% reduction in Canadian patrons. New York Governor Kathy Hochul emphasized the importance of Canadian visitors, stating, "Canada is a strategic and vital ally to New York, and the state’s tourism businesses are feeling the impact of fewer visitors."
Despite the recent trade tensions, New York officials, including Julie Coker, President and CEO of New York City Tourism + Conventions, are actively welcoming Canadians back. Coker noted that Canada remains the city’s second-largest international market, underscoring the economic impact of their absence and the urgency of these new promotional efforts.