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Air Canada: Decrease in demand for travel to the United States due to the trade war and political tensions

Air Canada: Decrease in demand for travel to the United States due to the trade war and political tensions

By م.زهير الشاعر

Published: April 2, 2025

Toronto – Arab Canada News

The national airline "Air Canada" announced a noticeable decline in demand for flights between Canada and the United States during the upcoming travel season, amid escalating trade tensions between the two countries after U.S. President Donald Trump imposed new tariffs on Canadian products.

According to the company, the number of tickets booked for travel between the two countries from April to September 2025 has decreased by 10% compared to the same period last year, which is a clear indicator of the impact of political and economic tensions on Canadian consumer behavior.

Growing Concern Over Long-term Effects

Vagn Sorensen, Chairman of "Air Canada", stated in comments reported by Bloomberg:

“I certainly feel concerned about the current situation. The trade war is beginning to directly impact Canadians' travel decisions, and we see this clearly in the bookings.”

In the same context, "Air Canada" and "WestJet" issued separate statements last week, confirming that the current geopolitical tensions are affecting consumer confidence and reducing their desire to visit the United States.

Increased Interest in European Destinations

On the other hand, "Air Canada" reported a strong and growing demand for transatlantic flights, with Canadians showing notable interest in European destinations such as Paris, Athens, Rome, and Edinburgh.

The airline confirmed that it will add more flights to these cities during the summer of 2025 to meet the high demand, while the share of flights to the United States has decreased, which had represented 22% of passenger revenue in 2024.

Public Opposition to U.S. Policies

This decline in demand coincided with clear social indicators of widespread Canadian reservations towards current U.S. policies. A survey conducted by Leger Marketing last week showed that only 9% of Canadians said they would welcome the idea of joining the United States, while the majority expressed their rejection of the political approach represented by President Trump.

Summary:

These data reflect the increasing direct economic impact of the trade war on vital sectors such as transportation and tourism, and highlight the growing gap in public trust between Canadians and Americans amid escalating trade and political conflicts.

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