Canadian Tourist Drop Raises Alarm for New York’s Tourism Industry Amid Trade Tensions

Tourism officials in Western New York are sounding the alarm over a sharp decline in Canadian visitors, as tensions surrounding the ongoing U.S.-Canada trade dispute appear to be taking a toll on cross-border travel.

Patrick Kaler, President and CEO of Visit Buffalo Niagara, confirmed that Canadian travel to the region dropped by 14% in February compared to the same period last year. “Our hotels and local attractions are reporting noticeable declines in Canadian guests,” Kaler said. “It’s a major concern for our tourism-driven economy.”

Canadians traditionally make up 35% to 40% of the area’s tourism base, contributing significantly to job creation and the local tax economy. The abrupt downturn in cross-border travel, if sustained, could prompt tough choices for businesses that heavily rely on international foot traffic.

The decline comes as a direct consequence of rising political tensions, driven by the U.S. administration’s tariff policies, which have sparked strong anti-U.S. sentiment among many Canadian travelers. As a result, a previously launched tourism campaign targeting Canadians was pulled in early February due to overwhelmingly negative feedback on social media.

“We didn’t want to risk appearing tone-deaf,” Kaler noted, adding that respect for Canadian sentiment guided their decision.

Recent reports also show a 70% drop in flight bookings between Canada and the U.S. for the upcoming summer, further reinforcing concerns about the broader impact of political rhetoric on travel behavior.

While some tourism operators on the Canadian side of Niagara Falls are benefiting from increased domestic travel, Buffalo is now exploring alternative U.S. markets to offset the loss. “There’s no quick fix,” Kaler said. “We’re hopeful this won’t be a lasting trend.”