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According to WestJet, a Canadian airline based in Calgary, there has been a notable decline in demand for flights to the United States. The airline attributes this decrease to rising tensions between Canada and the US due to trade disputes and tariffs. Alexis von Hoensbroech, CEO of WestJet, revealed that sales from Canada to the US have dropped by nearly 25% recently. This change is believed to be driven by concerns over a potential trade war.
Von Hoensbroech stated, "What we have seen though, since the tariff announcements, is that our sales from Canada into the US have actually dropped very significantly." He also pointed out currency issues as another factor affecting travel across borders. The Canadian dollar has been struggling against the strong US dollar, making it more expensive for Canadians to travel south.
The strained relationship between Canada and the US has been exacerbated by recent actions from US President Donald Trump. On February 1, he imposed a 25% extra duty on Canadian goods due to concerns about illegal immigration and drug delivery. Although an agreement was reached with Canadian Prime Minister Trudeau to delay these tariffs until March 4, 2025, fears of a prolonged trade war persist.
