Amid a combination of an unfavorable exchange rate, tariff threats, and political uncertainty, many Canadian travelers are choosing to stay home this year. The first sign of this was at the Quartzsite Sports Vacation and RV show, where the usual throngs of RVs with maple leaf flags just weren’t there.
Why Are Canadians Staying Home?
The U.S. Travel Association said that Canada is the top source of international visitors to the U.S. In 2024, there were 20.4 million visits from Canada generating $20.5 billion in spending and supporting 140,000 American jobs. The Association claims that a 10 percent reduction in Canadian travel could mean two million fewer visits and $2.1 billion in lost spending affecting some 14,000 jobs.
According to Go RVing Canada, 74 percent of Canadians elected to stay within their own borders in 2024. How will that figure change? “You can imagine what that’s probably going to look like given the current climate,” says the trade organization’s president Christopher Mahony.
According to Mahony, the pandemic spurred Canadians to vacation domestically and the trend has continued. With the weak Canadian dollar, the uncertainty over tariffs, and other news coming out of Washington, D.C., it’s unlikely we’ll see a reversal in current travel patterns.
Mahony’s numbers were supported by a study by Deloitte on summer travel outlook that examined travel habits and plans. In the study Canadians are reported to average $2,405 in summer travel spending which, according to the document, does not include ice cream, fishing tackle, theater tickets, or pints of beer.
But one of the telling statistics is that 88% prioritize safety as they’re booking travel, and the news is certainly doing nothing to reinforce that feeling. Further, about half expressed concern that they or their traveling companion might feel unwelcome due to language or cultural differences.
Ponderosa Campground, located on the New Jersey Shore, is one destination that’s seeing cancellations. Speaking with NJ.com, campground owner Marcia Kelleher said Canadians make up a large portion of bookings, and many of them are regulars who visit every year. But she’s recently been getting cancellations by Canadians who are concerned about rising tensions, with potential visa issues and even border detentions making headlines. According to Kelleher, she’s not the only Jersey Shore campgrounds owner who has received such calls.
RV Industry Also Feeling the Pinch
Canada-based CTV News reports that many Canadian RV dealers planned to cancel their orders for RVs amid the threat of tariffs. This comes in the face of predictions by the RV Industry Association that 2025 sales are expected to increase. The tariff picture is ever-changing, with tariffs being announced, postponed, exempted, or even doubled – all in a few days. And that’s not including reciprocal measures by the Canadian federal and provincial governments.
“We canceled $3 million in orders. Lots of dealers were similar,” said Andy Thomson, the owner of Can-Am RV near London, Ont. Another dealership, RV World in St. Thomas, Ont., made a similar move. “We’ve told our manufacturers if the tariffs come in, don’t ship us any product that the U.S. tariffs apply [to]. I mean our dollar is bad enough,” said Don Ferguson, owner of RV World.
According to CTV, 12 percent of RVs built in the U.S. are shipped to Canada. “You can’t take 12 percent of sales away from any company and not go from a profit to a loss position,” said Thomson. “So there is going to be a lot of hurt everywhere.”
So where are sales going? A number of Canadian buyers are refocusing their shopping on Canadian-made RVs such as Escape Trailer, Bigfoot, Prolite, Roadtrek, and Leisure Travel Vans. In fact, Canada has a solid choice of domestic-built RVs.
A New Normal?
While travel preferences and economic factors do contribute to the current decline of Canadian interest in cross-border travel, the impact of the political climate cannot be overstated, not just within the RV and tourism industries, but across all areas of trade. Without a dramatic course correction in the relationship between the U.S. and Canada, it’s unlikely that the trend will improve. For the next four years, the U.S. tourism industry will have to look within our borders to make up the shortfall in visitors and trade.