New York, Florida, California, Nevada, Texas Face Economic Fallout from New Canadian Tariffs

Tuesday, February 4, 2025

New trade duties on Canada might negatively affect Canadian tourism and economic contributions to the United States. In 2024, Canada was the leading international source of tourists to the U.S., with 20.4 million Canadian visits generating $20.5 billion in economic activity and sustaining 140,000 jobs across America. A potential 10% drop in these visits could result in a loss of 2 million visitors, reducing spending by approximately $2.1 billion and jeopardizing 14,000 American jobs.

Canadian Prime Minister Justin Trudeau has recommended that Canadians focus on domestic spending in response to the situation.

“Now is the time to choose Canada…It might mean changing your summer vacation plans to stay here in Canada and explore the many national and provincial parks, historical sites and tourist destinations our great country has to offer.”

The five states most frequented by Canadian tourists—Florida, California, Nevada, New York, and Texas—might experience declines in revenue within the retail and hospitality sectors, particularly because shopping ranks as the primary activity for Canadians while visiting the U.S.

The U.S. Travel Association, a national non-profit entity, represents the $1.3 trillion travel sector, a vital component of the country’s economic prosperity. The organization develops programs and provides insights, while also advocating for policies that boost both domestic and international travel to the United States.

Share On:

Tags: California, canadian tourism, florida, Nevada, New Canadian Tariffs, New York, Texas, United States