US states launch discounts for Canadian tourists as cross-border travel drops

In 2025, the US-Canada border region has witnessed a significant drop in cross-border tourism, primarily due to heightened political tensions and tariff threats. Canadian travelers, who have traditionally contributed a substantial portion of revenue to the tourism industry in northern US states, have drastically reduced their visits. In New York, Canadians typically constitute about 70% of the leisure travel market; however, local businesses report declines in reservations and bookings as Canadian tourists cancel their plans. Paul Dame, owner of Bluff Point Golf Resort, noted a 30% decline in business attributed to these factors. This sickening trend is mirrored in neighboring Vermont, where officials confirm that around 50% of their tourism traffic usually comes from Canada, with an even higher percentage during the summer months. In response, many businesses have started offering 'Canadian-only' deals to entice tourists back, introducing various discounts and offers including free bike rentals, discounted meals, and at-par pricing for accommodations. These actions come amid concerns that if the decline is not reversed, it could severely impact the local economies that rely heavily on Canadian visitors. In Washington State, the tourism sector has initiated campaigns such as 'Open Arms for Canada,' which aims to welcome back Canadian tourists by providing targeted discounts across various attractions and businesses. The emotional toll on local communities is palpable, with residents expressing worries that ongoing political discourse and policies from US leaders, particularly the Trump administration, are negatively affecting relations and tourism. This economic downturn is not limited to border states alone; the drop in Canadian tourism could have broader ramifications for the entire US economy, considering that Canadians spent over $20 billion in the US last year while supporting around 140,000 American jobs. The downward trend is expected to continue unless decisive action is taken to mend relations and restore the once-thriving tourism flows between the two countries, especially given that a majority of Canadians have expressed reluctance to travel to the US amidst growing political hostility. Seizing the opportunity, businesses on both sides are fostering goodwill to rejuvenate the tourism sector, but the stakes remain high as they grapple with the financial repercussions of the ongoing crisis.