Posted on November 5, 2025
September 2025 highlighted a dramatic shift in Canadian travel trends, with travelers increasingly favoring domestic destinations while trips to the United States continued to decline. Statistics Canada reported that airports across the country welcomed 2.5 million domestic passengers, representing a significant increase of 10.2% compared to September 2024. Toronto Pearson International Airport led this increase, recording a 15.2% increase in domestic passenger numbers, underscoring Canadians’ growing preference for exploring their country.
Meanwhile, travel to the United States has declined sharply, reflecting continued reluctance to cross the border. Rising travel costs, economic uncertainty, and geopolitical tensions, along with American political rhetoric, have contributed to this decline. Meanwhile, international travel outside the United States is on the rise. Routes to Europe and Asia are in increasing demand as Canadians seek new experiences, cultural immersion and adventure abroad.
The shift illustrates a broader shift in Canadian travel habits, with domestic escapes and high-demand international routes outpacing traditional U.S.-bound flights, driven by a combination of economic, political and lifestyle factors.
Meanwhile, travel to the United States has seen a sharp decline. The number of passengers traveling from Canada to the United States fell by 10.5% in September, with only 1.2 million passengers heading south. This marks the eighth consecutive month of year-over-year decline in cross-border air travel and reflects a 5.4% decline from pre-pandemic numbers in September 2019. The decline in U.S.-bound air traffic is exacerbated by a significant decline in vehicle crossings, which fell 34.8% in September.
Economic uncertainty, rising travel costs, and ongoing geopolitical tensions appear to be major factors contributing to Canadians’ reluctance to travel to the United States. As a result, several US states, including California, Florida, Texas, Ohio and New York, reported declining tourism numbers for nine consecutive months, including October. This trend has been linked to shifts in travel patterns, economic pressures, and affordability concerns affecting domestic and international visitors.
In response to these challenges, California’s tourism sector has adapted by focusing on domestic travelers. The state has been promoting lesser-known destinations and offering value-based travel deals in an effort to address affordability concerns and revitalize the tourism industry. The move signals a broader effort to target domestic visitors in light of the continuing decline in international tourism.
Canadians’ reluctance to travel south isn’t just due to economic factors. Political elements, including trade tensions and American political rhetoric, have also played a role in this shift. As a result, some Canadian regions, such as Prince Edward Island and Quebec, have reduced flights to the United States by more than 50%. However, Ontario saw a more modest decline, falling by just under 30%. These numbers reflect the growing trend of Canadians looking for alternative travel options that offer better value or align with their political preferences.
International travel preferences are on the rise
As Canadians cut back on their trips to the United States, they are increasingly looking abroad for vacation options. International travel outside the United States rose 6.9% in September 2025, exceeding pre-pandemic levels by 13.2%. The European and Asian routes have gained particular popularity, with destinations in these regions attracting more Canadian travellers. This shift in international travel preferences indicates that Canadians are broadening their horizons, looking for new destinations outside their southern neighbour.
One of the key demographics driving this increase in international travel are Generation X travelers, who show a strong preference for overseas trips. This group, often in their 40s and 50s, has been a major contributor to the growing demand for international flights, especially to European and Asian destinations. Routes connecting Western Canada to international hubs are performing particularly well, reflecting the growing global expectations of Canadian travellers.
As we move toward 2025, these trends suggest that Canadians will continue to prioritize domestic travel and exploring new international destinations rather than frequenting the United States. Whether driven by economic considerations, political factors, or a desire for more diverse travel experiences, it is clear that Canadian travel habits are undergoing a significant shift.
