The Good Times Start Now
May 13, 2025
In many places across Canada, the May Victoria Day long weekend is regarded as the start of summer and summer travel and tourism spending is a very significant part of Canada’s economy. We in the boat business in Canada, look to the summer as the main event in our business year. I think this summer could even be a record breaker if we are ready to capitalize on the opportunity.
First, it seems that Canadians are not heading south to the USA in the numbers we traditionally have. Recent talk by President Donald Trump about making Canada their 51st state and calling our now former Prime Minister, Justin Trudeau, Governor Trudeau, has been insulting, demeaning and aggressive. Understandably, Canadians don’t like that. But it seems to go further and Canadians are not feeling welcome or even safe in the USA, regardless of advertising campaigns such as the one by California’s Governor Gavin Newsome inviting Canadians to come back to California.
Canadians are choosing not to travel south because of the ongoing trade war but perhaps more significantly, because of the lower loonie. That and rising insurance rates have also pushed Canadian snowbirds to sell their U.S. homes.
President Trump’s push to use tariffs to isolate America from the rest of the world has caused travellers to cancel trips to the United States, leading to an historic drop in travel spending.
A story in the Globe & Mail online said that U.S. trade data released last week showed a steep decline in how much foreign visitors are spending while they are in America. The numbers revealed the largest three-month decline in travel exports of the past 25 years outside the months immediately following the Sept. 11, 2001, terrorist attacks and the first year of the pandemic.
The first part of the good news for us is that Canadians are the largest source of tourism to the U.S. So, that vacation spending can stay here at home. In addition, travellers from other countries are also avoiding the U.S. over fears it is unsafe with numerous reports of immigration officers detaining tourists. As this tide turns, another story in the Globe & Mail on the weekend, stated that the number of reservations at Canadian restaurants has grown more than 20 per cent so far in April compared to last year.
For Canadians, vacationing at home is a logical solution but for people from other countries, switching their travel plans from U.S. destinations to places in Canada may give us a boost too.
Whatever it takes, it seems like good planning to anticipate a banner year for the marine industry this summer. Do you see it that way? We would welcome your comments and ideas, and we would gladly share with the readers. We think the good times start now. Email aadams@kerrwil.com
Andy Adams – Editor
