Quantcast

US-Canada air travel demand plummets amid trade tensions

Qantas launches mammoth Asia flight sale including Bali and Japan
New Update from Air Canada, WestJet, American Airlines, Delta, United, Southwest, Alaska, JetBlue Airways, and Sunwing: Airline Capacity Between Canada and US Slashed as Bookings Plummet Seventy Per Cent
Delta Cuts Two Domestic Routes
United Airlines Technicians Reject ‘Dead on Arrival’ Contract Proposal, Teamsters Say
The State of the Asia Pacific Airline Industry
Spirit Airlines to add Detroit nonstop flight out of Bradley International Airport
Major airline to launch new direct flights from Scotland to North America
Ryanair launches new ‘prime’ membership which saves passengers more than £400 a year
Judge Orders Boeing to Trial on 737 MAX Case
Qantas’ free international Wi-Fi to switch on from next week
The real reason Southwest is charging for bags now
Air France-KLM in ongoing talks with Air Europa on potential stake, CEO says
Frontier Savagely Shades Southwest After They Eliminated Longstanding Free Bag Policy, Sparking Backlash
Frontier Wants You to 'Divorce Your Old Airline' After Southwest Changes
Delta named one of Fast Company's Most Innovative Companies for sustainability initiatives
Passengers escape fiery American Airlines jet in Denver
Delta, American Dive On Slashed Outlooks; But Two Airlines Rally
Competitors are circling Southwest after the airline announced it's going to start charging for checked bags
Exclusive: Dominican Low-Cost Carrier Arajet Wants to Disrupt NYC Market
Boeing deliveries rise 63% in February from a year earlier
Transportation Secretary Duffy Lays Out 10 Ways the FAA Is Working to Upgrade Air Traffic Control and Make Flying Safer
EasyJet pilot Paul Elsworth suspended after flying too close to mountain
Delta Air Lines bets on ‘blended-wing’ flight to reduce emissions
Europe's airlines pivot to bite size M&A deals to limit cost, regulatory burden
Dave Emerson named new CEO of Virgin Australia, replacing Jayne Hrdlicka
Ryanair DELAYS controversial new boarding pass rule to avoid summer chaos
FAA Orders Inspection, Replacement of 737NG Engine Parts
Spirit Adds New Airport, Three Routes
Delta crash passengers should take the $30,000 payment, their lawyers say. Here’s why.
Budget airline launches new cheap flights to one of the UK’s top winter sun destinations
US-Canada air travel demand plummets amid trade tensions
Policy
Webp received 1213389673910341
Alexis von Hoensbroech WestJet CEO | Official Website

Recent data from the travel data company OAG has indicated a significant decline in forward bookings between the United States and Canada. Bookings have dropped by as much as 75% in the coming months, hinting at a possible reduction in air travel demand.

Using forward booking data from a major global distribution system supplier, OAG reported this decrease when comparing March 2025 and March 2024 data. From April to September, bookings showed declines of up to 75.7% in some months.

"This sharp drop suggests that travellers are holding off on making reservations, likely due to ongoing uncertainty surrounding the broader trade dispute," a source familiar with the data noted. The findings align with earlier research by Leger, which indicated that "nearly half of Canadian travellers (48%) say they are less likely to visit the US in 2025 compared to last year."

Get the Newsletter
Sign-up to receive weekly round up of news from Sky Industry News
By submitting, you agree to our Privacy Policy and Terms of Service. By providing your phone number you are opting in and consenting to receive recurring SMS/MMS messages, including automated texts, to that number from our short code. Msg & data rates may apply. Reply HELP for help, STOP to end. SMS opt-in will not be sold, rented, or shared.

Air Canada and other airlines have been considering capacity reductions on US-bound routes. Although Air Transat has limited US exposure, the airline is monitoring potential last-minute booking changes due to the economic environment. Air Transat's President and CEO, Annick Guerard, mentioned that they are "closely monitoring the situation as it evolves," coinciding with the start of the summer booking period on March 30.

WestJet CEO Alexis von Hoensbroech expressed disappointment about the ongoing trade tensions since the tariffs announced by US President Donald Trump. "I am personally very disappointed by the way things are going. I think that a trade war is the very last thing this country, this continent, this world needs," he told CTV News.

Air Canada, having set financial expectations for 2025, acknowledged that its guidance hinges partly on "the potential impact of statements or actions by governments relating to the imposition of (or threats to impose) tariffs on exports or imports, and related consequences." The airline reported expected year-end results, maintaining that developments could affect these projections.

Despite this backdrop, airlines have registered a slight increase in capacity between Canada and the US. Airlines have increased flights by 4.1% and seats by 4.5% for the March to October period compared to 2024. However, Canadian airlines like Air Transat and Flair Airlines have been reducing flights by 22.1% and 26.5%, respectively.

Ongoing tensions and economic policies continue to play a crucial role in shaping future air travel demand. With uncertainties still present, adjustments in capacity and flight schedules may continue.

Organizations Included in this History
More News

With the commencement of the 2025 summer flight schedule, ITA Airways has seamlessly integrated into the Lufthansa Group terminals in Frankfurt and Munich.

Mar 30, 2025

Air China is set to resume its Toronto flights after a 33-year hiatus.

Mar 29, 2025

United Airlines has confirmed that a Boeing 767-300ER, which departed from London on March 26, returned to London Heathrow after experiencing mechanical problems.

Mar 29, 2025

American Airlines has introduced new routes to Punta Cana, the Dominican Republic, following its "March Map-Ness" contest.

Mar 29, 2025

A Delta Air Lines Airbus A321neo is back in operation after being grounded due to smoke detected in its cabin.

Mar 29, 2025

The Southern Museum of Flight in Birmingham, Alabama, presents an extensive collection of over 120 aircraft, showcasing a range of experimental, military, and general aviation aircraft.

Mar 29, 2025