Transborder travel between Canada and the United States experienced a severe contraction in December, with new data from Statistics Canada revealing a prolonged and significant downturn. The decline represents the twelfth consecutive month of year-over-year drops, signaling a persistent shift in travel patterns for Canadian residents.
A Sharp Drop in Automobile Travel
The most striking figure from the December 2025 report concerns travel by car. Canadian residents made only 1.3 million return trips from the U.S. by automobile, a steep decline of 30.7 per cent compared to December 2024. This figure was virtually unchanged from November's total, which itself was down 28.6 per cent year-over-year, indicating the slump is entrenched.
Travel by air also fell, though less dramatically. Return trips from the U.S. by air decreased by 18.7 per cent in December, totaling 470,700. Interestingly, this contrasts with a 10.4 per cent increase in Canadian return air trips from overseas countries, which reached 1.1 million. However, overall air returns from abroad saw a marginal 0.1 per cent dip to 1.6 million trips.
Travel to Canada Also Declines
The slowdown is not one-sided. The data shows that travel from the United States into Canada has also been weakening. In December, U.S. residents took 981,800 trips to Canada by car, a nine per cent decrease from the previous year. This marks the eleventh straight month of declines for this category.
Similarly, air trips by U.S. residents to Canada fell by 8.9 per cent. When combining all modes of travel, total international arrivals by both returning Canadians and non-residents stood at 4.6 million in December, down 12.7 per cent from December 2024. This broad category also recorded its eleventh consecutive month of year-over-year decline.
Broader Implications and Trends
The consistent, months-long downturn in cross-border movement poses questions for border communities, tourism operators, and related industries that depend on fluid travel between the two nations. The report notes that arrivals to Canada by air by non-Canadians totaled 752,700, a slight 1.1 per cent decrease. This overall dip was driven by the decline in U.S.-resident arrivals but was partially offset by a 6.6 per cent increase in arrivals from overseas residents.
The sustained nature of the decline, spanning a full year, suggests the trend may be driven by more than seasonal factors or temporary economic conditions. Analysts will be watching closely to see if this represents a longer-term recalibration of travel habits between the two closely linked North American neighbours.
