US Cross-Border Travel Trends Reverse for the First Time in Years

Why does it matter? Travel flows don’t just affect airlines and border crossings. They influence jobs, tourism, and everyday life for students, temporary workers and permanent residents. Let’s take a look at the numbers, what’s driving these changes, and why planning for health coverage is an important part of any trip.

Key Takeaways

• Fewer Canadians are travelling to the US, while Americans continue to visit Canada,
• Overseas travel to Canada is growing, with close to one million international visitors coming to Canada in July 2025.
• These shifts matter for tourism, jobs, and everyday travel – and they underline the importance of having the right health coverage, whether your stay in Canada is short or long term.

Travel Between Canada and the US

Cross border travel has always been popular between Canada and the US. Many Canadians often head south for vacation, shopping, or family visits, while Americans travel north to enjoy Canada’s nature, cities, and culture. According to Statistics Canada, these travel flows shifted notably in July 2025.

• In July 2025, Canadian trips to the US fell 32.4% compared with July 2024, with car travel dropping the most (-35.8%).
• Trips by US residents to Canada also declined slightly (-3.0% from last year), but they still outnumbered Canadian trips south – a rare flip to the usual travel dynamic.
• US government data also confirms the trend: between January and May 2025, Canadian visits to the US fell nearly 17% compared with the same period in 2024.

Why Fewer Canadians Are Travelling to the US

Several factors are driving the decline in Canadian travel to the US:

• Rising costs, a weaker Canadian dollar, and higher gas and airfare make US trips less affordable.
• Confusion over new US tariffs, combined with a growing push to “buy Canadian,” is discouraging many from cross-border shopping.
• Same day car trips that were once common have declined sharply, possibly due to higher fuel costs, longer border waits, and a weaker dollar reducing their value. 
• More Canadians are choosing overseas travel instead. 
• US entry restrictions may affect people living in Canada who hold non-Canadian citizenship.
• A survey found that 52% of Canadians no longer feel safe travelling to the US, citing political tensions and border concerns.

Why US-to-Canada Travel Surpassed Canada-to-US

So why is Canada still attracting strong numbers of US visitors?

• The weaker Canadian dollar makes trips to Canada more affordable for Americans.
• July is peak season for Canada’s natural attractions, cruises, and city tourism. 
• Air arrivals from the US increased, indicating that demand for Canadian destinations remains steady, even as overall numbers dip slightly.

The takeaway: Canadians are traveling to the US less frequently, while Americans – though fewer than last year – still made more trips to Canada than Canadians did to the US. These changes can affect tourism, hospitality, and retail industries, which rely heavily on international visitors, thus having a knock-on effect on employment opportunities for Canadians.

International Travel to Canada on the Rise

The US isn’t the only piece of the puzzle. Overseas travel to Canada is also on the rise.

• Nearly 1 million overseas residents visited Canada in July 2025, up 10.3% year-over-year.
• The top source countries were the UK, France, and India.

This growth keeps Canada globally connected, though higher demand can make flights more expensive and harder to book, especially during peak seasons.

What This Means if You’re Living, Studying, or Settling in Canada

• Job opportunities: A steady flow of American and overseas visitors fuels demand in hospitality, retail, and tourism, sectors that often provide flexible, entry-level jobs for newcomers. This could be especially beneficial if you’re looking for part-time work while studying or a first job to build Canadian experience.
• Cross-border travel: Many still rely on easy travel between Canada and the US for family visits, shopping, or short vacations. Understanding the latest travel patterns can help you plan trips better – for example, choosing less busy border crossings or timing visits to avoid peak periods.
• Costs and convenience: With fewer Canadians heading south, airlines, tour operators, and even border services may adjust pricing and schedules. This could mean cheaper flights on some routes, but also potential changes in frequency and border wait times that you’ll want to keep an eye on.
• Health coverage: It’s important to know that most provincial health plans don’t cover visitors at all or temporary/permanent residents right away. If you’re eligible for provincial health coverage, there’s often a waiting period before you’re fully covered. During this time, any medical care you need in Canada might come out of pocket. That’s why many newcomers arrange private health insurance for the first few months, so they’re protected until their provincial coverage kicks in.

Why Health Insurance Matters 

If you are considering a trip to Canada, even a short trip without coverage could lead to expensive medical bills. Government health care doesn’t cover visitors, and newcomers may face waiting times before provincial coverage in Canada starts. Feeling safe when you travel isn’t just about politics or border rules – it’s about knowing you’re protected if something goes wrong.

For reliable health coverage, start by getting a free quote from one of our trusted insurance partners:

• BestQuote is ideal for short-term travellers or those already in Canada. Get your quote here.
• For longer trips (4+ months) from outside Canada, choose Cigna. Get your quote here.
  

Tips for Travelling Between Canada and the US

• Budget wisely: Costs can change quickly – don’t assume cross-border flights or shopping runs will be cheap.
• Check your health insurance coverage: Use BestQuote for short-term protection or Cigna for long-term peace of mind.
• Watch job trends: More overseas visitors mean more demand in tourism-related sectors.
• Stay informed: Travel trends and immigration rules can shift quickly.
  

Canada travel trends are changing. Fewer Canadians are heading to the US, while more US and overseas visitors are choosing Canada. For students, temporary workers, and those planning to settle long-term, this creates new opportunities in tourism and related industries.

With the right planning – and the right health coverage from Cigna or BestQuote – you can enjoy safe, stress-free travel wherever your Canadian journey takes you.