Cambridge travel agent says some clients rethinking U.S. travel plans amid tariff war

A Cambridge, Ont., travel agent says her clients aren't changing March break plans to go to the U.S., but those planning vacations in the coming months are reconsidering their options.

"Clients, people are feeling attacked. We're feeling threatened," Jessica Malcew, a travel agent at Timeless Tales Travel in Cambridge, told CBC News. "They want to make sure that … they're supporting Canadian, or they're staying home."

Malcew, who is a vacation planner and is listed as a Disney specialist, said the travel agency is also seeing a shift in how people are approaching their vacations.

"Instead of them going [to Disney] for a week, they're going for four to five days. We're definitely seeing a shrink," she said.

"We have seen an increase in clients who are looking at all-inclusive destinations like Mexico, Dominican Republic, and who are cruising instead, as well."

A Canadian response to the tariffs

After a month-long pause, U.S. President Donald Trump imposed a 25 per cent tariff on most imports from Canada on March 4.

Following the announcement, Malcew said clients are now indicating they want to avoid U.S. trips altogether. One person emailed Malcew and said they're "going to hold off on doing any more research on trips to Florida because of the tariffs that came into effect." 

HS Chris Choi, a professor at the University of Guelph's School of Hospitality, Food and Tourism Management, told CBC News in an email that the tension between Canada and the U.S. has affected Canadians' desire to travel to the U.S.

"Industry experts have observed that the heightened political tension is prompting Canadians to rethink their travel plans, with many favouring local or non-U.S. destinations over the traditional American trips they once preferred," he said. 

It is something Malcew says her Disney-centric travel agency has had to address.

"We've really had to pivot and make sure that we're flexible and providing clients with the information they need to know that we don't just book Disney. We can also book your Royal Caribbean cruise, which is Canadian dollars, or we can get you to that all-inclusive destination also in Canadian dollars."

Different than Trump's 1st term

Choi said the "aggressive political rhetoric" from the U.S. has caused "significant unease" among Canadian travellers, something already felt all over the country. 

"In regions like Quebec, surveys indicate that nearly half of those who initially planned to travel to the U.S. now opt for domestic or alternative international destinations," he said.

Other provinces are also feeling this shift in Canadians' sentiments.

McKenzie McMillan, a travel consultant with a Vancouver-based travel group, told CBC News that many Canadians were already avoiding travel to the U.S. back when the tariffs were still just a threat.

"We certainly saw it during the first Trump presidency, with Canadians mostly anecdotally saying that they were planning on avoiding the U.S.," McMillan said. 

"But this time definitely feels different. This has been a much more tangible reaction from clients who are actually outright cancelling trips and rearranging their plans. This is something that we haven't seen before to this extent."

Growing interest in local travel

While Malcew did not necessarily notice an uptick in local travel for March break, she said more clients are saying they want to spend their vacation dollars in Canada in the coming months.  

Choi said he had the same observation from current travel trends in Waterloo region.

"I've observed a robust rebound in local tourism throughout the Waterloo region and Wellington County, with hotel occupancy rates and event participation nearly returning to pre-pandemic levels," he said.

"Families and groups are increasingly taking advantage of the region's rich cultural events, outdoor experiences, and unique attractions … without the need for long-distance travel."

Choi said these changes in Canadians' travel habits could persist past the tariff's existence. 

"Suppose the current political and economic uncertainties persist. In that case, there is a strong likelihood that Canadians will continue to prefer local or alternative international destinations even after the tariffs are eventually resolved," he said.

'Big hit' to travel agents

With less Canadians choosing to spend their March break on U.S. trips, Malcew said there has been a trickle effect. 

"Flights and things have been changing with like WestJet reducing the number of flights that they're sending down to Florida," she said. "Other airlines are following suit."

Malcew understands why clients are avoiding sending their money south of the border. However, she said independent contractors and travel agents like her are taking a hit.

"Clients will see it as, 'We're not giving money to this American corporation,' which is 100 per cent true," she said. "But then it's also impacting Canadians as well."

"We all live in Canada, we all work in Canada, we all pay Canadian taxes, and we're also seeing this big hit."