- Tariffs and Trump’s talk of annexing Canada has decimated flight bookings between the two countries. Current bookings are 70% below where they stood a year ago. That could bring lower fares, but could be a big financial hit for carriers that fly those routes.
As the Trump administration imposes tariffs on Canada and talks regularly about annexing the country, the number of airline passengers crossing the border has dropped precipitously.
Passenger bookings on routes between Canada and the U.S. are currently down by 70% compared to the same period last year, according to a report from travel data provider OAG. And it’s unlikely that gap will be made up anytime soon.
Airline capacity between the two countries has already been reduced through October of this year, with many of the cuts coming in July and August, which are typically peak travel months. Through the end of October, more than 320,000 seats have been removed by airlines operating between the two countries.
“Future flight bookings between Canada and the U.S. have collapsed,” OAG wrote. “Bookings are down by over 70% in every month through to the end of September. This sharp drop suggests that travelers are holding off on making reservations, likely due to ongoing uncertainty surrounding the broader trade dispute.”
Last July, for instance, more than 516,000 people traveled between the U.S. and Canada. This year, the current booking snapshot estimates less than 150,000 will.
But if you’re on the fence about a trip to the Great White North, that could work in your favor. OAG says there could be some particularly cheap airfares in the coming months as carriers look to stimulate demand. Convincing Canadians who frequently come to the U.S. in upcoming winter months to make the trip could be more difficult, though, if relations between the two countries don’t improve over the summer.
This story was originally featured on Fortune.com
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