Canadian Tourism Industry Faces Job Losses Amid Tariff Concerns
Canadian Tourism Industry Faces Job Losses Amid Tariff Concerns
A Canadian non-profit organization is warning that tariffs could lead to further financial losses and widespread layoffs in the country’s tourism industry.
The Canadian Association of Tour Operators (CATO), which represents a significant portion of the tourism sector, is advocating for policy changes to mitigate the impact. According to CATO, the 25% tariffs imposed by the U.S. government have already caused substantial damage, even before taking effect on Tuesday.
“The tourism sectors of both the United States and Canada are feeling the strain, from hotels and restaurants to travel agencies, tour operators, and transportation services,” CATO stated in an email to Daily Hive. “Thousands of jobs are at risk, and without swift and decisive action, the consequences will only worsen. We cannot afford to stay silent.”
Despite the challenges, CATO emphasized that “it’s not too late to turn the tide.” The organization is urging Canadians to take action by raising awareness, contacting local representatives, and supporting tourism-friendly policies.
“We cannot let these tariffs dismantle a sector that has been a cornerstone of economic activity between two great nations,” the statement continued. “The U.S.-Canada tourism industry is more than just a trade relationship—it represents a long-standing friendship and partnership.”
With many Canadians canceling U.S. vacations due to the tariffs and a weakened loonie, the economic impact could extend beyond Canada. Trade barriers may also disrupt the flow of tourists, potentially leading to job losses on both sides of the border.
“From cross-border travel to tourism-driven industries, our economies are deeply interconnected,” said CATO.
The U.S. Travel Association, a national non-profit representing the American travel industry, estimates that even a 10% decline in Canadian visitors could result in US$2.1 billion in losses and 14,000 job cuts in the U.S.
“This is a fight to protect thousands of jobs across the tourism industry, from hospitality and transportation to entertainment and retail,” CATO stated. “These tariffs are not just a political issue; they are a real threat to the economic well-being of our communities.”
