New York Faces Sharp Drop in Canadian Visitors and Trade Amid Tariff Disputes
A recent report from the New York State Comptroller highlights a significant downturn in tourism and trade with Canada, driven by high tariffs and geopolitical tensions. Between 2024 and 2025, nearly 3.6 million fewer travellers from Canada visited New York, marking a decline of over 21 per cent. Additionally, exports to Canada, New York's largest trading partner, fell by $3.8 billion due to tariff-related issues.
Impact on Border Communities and Employment
The decline has been particularly detrimental to New York border towns, according to the April 2 report. Travel-related employment saw notable losses, with the North Country region experiencing a 1.9 per cent drop in jobs from January through September 2025. Western New York lost 656 jobs during the same period, affecting hotels and restaurants that rely on Canadian tourists.
N.Y. Comptroller Thomas P. DiNapoli emphasized the economic consequences, stating, "Federal policies are driving foreign travellers away and taking billions in tourism spending, harming our economy as exports substantially decline." He warned that without policies to welcome international visitors, New York could face further job losses and economic strain.
Tourism and Trade Statistics Reveal Broader Trends
Beyond the Canadian visitor decline, the report notes a 2.2 per cent decrease in Mexican travellers to New York. Overall, tourism-related spending remained flat in 2025, but hotel occupancy dropped by 1.2 per cent across the state. Overseas arrivals fell by 3 per cent, slightly above the national decrease of 2.5 per cent.
Key tourist attractions also suffered:
- National park visits declined by 18.2 per cent in 2025.
- The Statue of Liberty saw 183,000 fewer visitors through October 2025.
- State park visits decreased by 2.3 million, with Niagara Reservation, including Niagara Falls, accounting for a 6.4 per cent drop or about 610,000 visitors.
Trade Declines Extend Beyond Canada
Exports to nearly half of New York's trade partners declined due to federal trade policy changes, with decreases across two-thirds of product categories. Imports from Canada fell by 7 per cent, while imports from China dropped sharply by 29.7 per cent. This broader trade downturn underscores the interconnected nature of global economic policies and local impacts.
Data from Statistics Canada further supports the trend, showing a 31.5 per cent decline in return trips from the U.S. by Canadian residents between February 2024 and February 2026. As New York grapples with these challenges, the report calls for renewed efforts to strengthen trade ties and promote tourism to mitigate economic damage.
