From Washington state to northern New England, American businesses that have long depended on Canadian visitors are seeing traffic dry up — and with it, a crucial source of revenue.
From January to October 2025, the number of passenger vehicles crossing the U.S.-Canada border fell by nearly 20% compared with the same period in 2024, according to the JEC analysis, which draws on U.S. Customs and Border Protection travel statistics. In some border states, the decline reached 27%, a shift that local tourism agencies say is showing up in fewer tourists, more hotel vacancies, and weaker sales.
The impact stretches beyond retail and lodging into wineries and attractions that rely on cross-border regulars.
Some operators worry the damage will outlast any eventual thaw in U.S.–Canada trade relations, as Canadian travelers form new habits elsewhere.
On the West Coast, festival organizers are also feeling the pinch.
For businesses up and down the northern border, the question now is not just when Canadians will return in force, but how much of that lost business can ever be won back.
For this story, Fortune journalists used generative AI as a research tool. An editor verified the accuracy of the information before publishing.
