Trade War Escalation Threatens Canadian Travel Recovery to U.S.

Escalating trade tensions between the U.S. and Canada threaten the recovery of Canadian travel to the U.S. The U.S. imposed 50% tariffs on Canadian goods, and Canada retaliated with tariffs on roughly $20 billion of goods. This comes as Canadian travel to the U.S. had seen four consecutive months of year-over-year growth, with a July survey showing 28% of Canadian travelers had visited the U.S. in the past six months, up from 23% a year earlier. The dispute could reverse this trend, posing risks for hotels and destinations.