As Canadians boycott U.S. travel, domestic tourism price surge, making vacations expensive for many. International trips now cost less than travel within Canada
Rising Costs Hit Canadian Travelers
As of mid-2025, Canadians are grappling with the unexpected consequences of their collective move to boycott U.S. travel. In an effort to support national tourism and avoid crossing the southern border, demand for domestic flights and accommodations has surged. But rather than benefiting locals, prices across the tourism sector have spiked, making travel within Canada more expensive than ever.
Where Canadians Are Feeling the Pinch
Across the country—from Vancouver to Halifax—families are reporting astronomical costs for short-haul domestic flights and basic hotel stays. Online platforms like Reddit are filled with Canadians venting frustration. One user wrote they could fly to Europe for less than the $3,500 it would cost to fly their family of four within Canada. Data backs this up: average hotel rates rose by 3% year-over-year in June, and last-minute accommodations now command premium rates.
The U.S. Boycott’s Ripple Effect
The domestic travel surge stems from a quiet boycott of U.S. travel, sparked by political tensions and a desire to reinvest in Canada’s tourism economy. However, this well-meaning trend has created an unintended side effect: inflated prices. Tourism providers—aware of growing demand—have increased rates, knowing that Canadians are actively avoiding U.S. destinations.
Domestic Flights More Costly Than International
Flying from Toronto to Montreal now costs up to $300 for a 50-minute flight, while deals to Europe or the Caribbean are sometimes hundreds of dollars cheaper. Cottage rentals in southern Ontario for peak summer weeks exceed $2,000, with Vancouver posting even higher figures. Taxes and federal airport fees continue to drive prices upward, adding to Canadians’ frustrations.
What the Numbers Reveal
According to Statistics Canada, domestic tourism spending rose by 0.8% in Q1 2025, on top of a 1.2% increase the previous quarter. Much of this growth was driven by accommodation (+5.1%), dining (+2.5%), and other non-tourism services (+2.2%). While the government has responded with initiatives like the Canada Strong Pass to subsidize local travel, affordability remains a challenge for middle-class families.
Looking Ahead: A Tourism Balancing Act
The Canadian government faces a dual challenge: boosting domestic tourism while ensuring it’s not priced beyond the reach of average citizens. Without intervention, more travelers may look abroad for better value—undermining the very spirit of the U.S. boycott and jeopardizing Canada’s internal travel industry. For now, many Canadians are left asking: Can I afford to explore my own country anymore?
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