Most Canadians to avoid US travel this summer due to trade tensions, poll finds

A poll by Leger Marketing Inc. found that most Canadians plan to avoid US travel this summer due to trade tensions, safety concerns, and border delays. Only 10% plan to travel to the US, down from 23% last year. Canadians are instead opting for domestic travel, with 77% planning to do so compared to 69% last year. The sentiments reflect a broader movement to boycott US products and the US economy is set to lose billions of dollars in revenue in 2025 from a pullback in foreign tourism and boycotts of American products.

The U.S. dollar experienced a significant decline against major currencies on Monday, June 2, 2025, as escalating US-China trade tensions and President Donald Trump's decision to double tariffs on steel and aluminum imports sent global markets into a tailspin. The greenback fell to nearly a 1-1/2-month low of 1.1437 against the euro and a 1-month low of 0.8159 against the Swiss franc [1][2].

Trump's move to increase tariffs to 50% starting June 4 was aimed at protecting domestic industry. However, China accused the U.S. of violating their recent trade deal and vowed to take measures to defend its interests, complicating the prospects of immediate bilateral talks [1][2]. U.S. Commerce Secretary Howard Lutnick indicated that tariffs are here to stay despite ongoing legal battles [1][2].

Investors are also closely monitoring the latest developments with U.S. federal tax-and-spending legislation, which threatens to increase the U.S. deficit. The economic impact of Trump's tax package is seen as a short-term stimulus at the potential cost of long-term drag [1][2].

Adding to the economic uncertainty, a poll by Leger Marketing Inc. found that most Canadians plan to avoid US travel this summer due to trade tensions, safety concerns, and border delays. Only 10% plan to travel to the U.S., down from 23% last year. Canadians are instead opting for domestic travel, with 77% planning to do so compared to 69% last year [3]. This shift in travel plans reflects a broader movement to boycott US products, potentially costing the US economy billions in revenue in 2025 from a pullback in foreign tourism and boycotts of American products [3].

In response to the economic uncertainty, the governments of Ontario and Saskatchewan have reached an agreement to reduce trade barriers between the two provinces. Ontario Premier Doug Ford and Saskatchewan Premier Scott Moe signed a memorandum of understanding (MOU) in Saskatoon on Sunday, aiming to offset the impact of U.S. tariffs on the Canadian economy [4].

Looking ahead, investors should keep an eye on the U.S. manufacturing PMI for May and construction spending for April, scheduled for release in the New York session [1][2].

References:
[1] https://forex.tradingcharts.com/forex_news/us_dollar_falls_reescalating_uschina_06022025_0134.html
[2] https://www.rttnews.com/3543454/u-s-dollar-falls-on-re-escalating-us-china-trade-tensions.aspx
[3] https://www.cbc.ca/news/canada/toronto/ontario-saskatchewan-memorandum-of-understanding-1.7549501
[4] https://www.reuters.com/business/retail-consumer/trump-carney-are-direct-contact-over-tariffs-says-canadian-minister-2025-06-05/