Several Canadian airlines have announced reductions in services to popular U.S. destinations, including Las Vegas, citing falling demand.
OAG reports that airlines flying between Canada and the United States have cut more than 320,000 seats through to October. The sharpest reductions are focused on the peak summer months of July and August.
A recent Canadian survey found that 36 percent of citizens who had planned trips to the United States have since cancelled them. The U.S. Travel Association estimates that even a 10 percent drop in Canadian visitors could cost the American tourism sector $2.1 billion in lost spending and threaten 140,000 hospitality jobs.
The downturn follows Canada’s updated travel advice warning citizens of possible registration requirements and penalties if staying beyond 30 days. Other concerns include high-profile detentions at the border and fears of discrimination.
Canada is not alone. Denmark, Finland, France, Germany and the United Kingdom have issued travel advisories, many addressing U.S. policies requiring travellers to declare their sex as either male or female on visa forms, even if their national documents include non-binary or X markers.
The Finnish Ministry for Foreign Affairs advised on 14 March that individuals with differing gender markers on their passports may face entry refusal. Germany and France have issued similar warnings. Denmark urged those with gender-affirming documents to consult the U.S. embassy before travelling.
The policies follow Trump’s executive orders aimed at enforcing what he has called “biological truth” in government documentation.
Despite these developments, Finland’s national airline has reported growth on its U.S. routes. Finnair told Helsingin Sanomat that bookings remain strong and have even increased in early 2025. In February, passenger numbers on Finnair’s U.S. routes rose 27 percent compared to the same month last year. From January to February, the airline carried over 20 percent more travellers to American destinations.
Finnair currently flies to New York, Los Angeles, Miami and Dallas, and will add Chicago and Seattle to its summer schedule. The airline plans to increase its total capacity by 10 percent this year.
While interest in the U.S. remains solid among Finnish travellers, data suggests a broader global shift. According to Tourism Economics, inbound travel to the United States is now expected to decline by 5.5 percent in 2025. The drop reverses earlier projections of nearly 9 percent growth.
Countries such as the United Kingdom have updated their advisories to include specific warnings about arrest or detention for violations of entry rules. Germany made similar changes after several nationals were detained in March.
Travel sentiment has shifted in western Europe. A YouGov poll in March found that over half of respondents in the UK, Germany, Sweden and Denmark hold unfavourable views of the U.S. following Trump’s return to office. Those numbers are the lowest recorded since polling began in 2016.
In response to the cooling demand, travellers are choosing alternative destinations. Bermuda has seen a spike in hotel bookings from Canadian travellers. European cities have also reported increased demand, with some holiday rental agencies noting a 32 percent rise in summer reservations from Canada.
Mexico, the second-largest source of visitors to the U.S., has also seen a reduction in outbound air travel. February figures show a 6 percent drop compared to 2024. Border enforcement rules are believed to be a factor.
Future events may also be affected. Visa delays are already raising concerns for the 2026 FIFA World Cup, co-hosted by the U.S., Canada and Mexico. The International Olympic Committee has also raised questions about athlete entry ahead of the 2028 Los Angeles Games.
Meanwhile, U.S. officials maintain that the country remains open to visitors. The full impact of these developments on the tourism industry remains uncertain.
HT