Washington, D.C. – Canadian travel to the United States continues to slide at an alarming pace, with the latest figures showing a steep 37% drop in car visits this July compared to the same month last year. The decline marks the seventh consecutive month of double-digit losses and threatens a major blow to the U.S. tourism economy.

According to the U.S. Travel Association, every 1% decrease in international visitor spending costs the United States approximately $1.8 billion in export revenue. If the current trend persists through the end of 2025, the U.S. could forfeit at least $21 billion in tourism-generated income, a stark contrast to the $20.5 billion Canadians spent in the country in 2024.

The downturn is most pronounced in road travel — historically the preferred way for Canadians to visit their southern neighbor — which fell 37% in July after a 33% drop in June, based on data from Statistics Canada. Air travel from Canada also declined sharply, down 26% year-over-year in July.

This prolonged contraction reflects a deepening reluctance among Canadians to visit the U.S., described by analysts as a “soft boycott” that began earlier this year. Since April, both car and air arrivals have experienced double-digit year-over-year declines every month.

While cross-border travel in the opposite direction is also down, the impact is less severe. U.S. car trips to Canada fell by 7% in July compared to last year, while air arrivals from the U.S. to Canada saw a modest increase of 0.7%.

Industry experts warn that if political tensions, currency fluctuations, and traveler sentiment do not improve, the coming months could deepen the strain on U.S. tourism businesses — from border-town hotels and restaurants to major urban attractions.