Inbound international travel

The number of inbound trips by nonresidents to Canada is estimated to reach 24.9 million in 2025, with the market experiencing a sharp rebound in the years following the pandemic but now facing renewed headwinds. Restrictions were lifted in 2022, catalyzing a dramatic resurgence in arrivals, while economic recovery and pent-up demand initially fueled further expansion in 2023 and 2024. However, rising tensions and tariffs between the US and Canada, given that US visitors account for most international entries, have started to temper inbound growth. Other key pressures include shifting exchange rates, as well as concerns related to global recessionary fears and inflation, all of which have dampened enthusiasm for international travel to Canada in the current year.

From 2020 to 2025, inbound international trips reflected unprecedented volatility. The COVID-19 pandemic and associated border closures caused an 84.4% decline in 2020, deepening by a further 15.5% in 2021, despite the Canadian dollar remaining weak. The complete easing of travel restrictions in late 2022 triggered an extraordinary 318.6% surge in arrivals, supported by the elimination of vaccine and testing mandates. This momentum carried into 2023 with an additional 51.8% expansion, as both foreign leisure travelers and business visitors resumed trips to Canada. Macroeconomic factors such as global inflation and brief recessionary dips in 2024 pressured travelers' budgets even as overall tourism expanded by 9.6% amid hopes for economic stabilization. Throughout this period, Canada's strong destination appeal helped it compete for a share of the recovering global tourism market, but competition from US and European destinations—as well as evolving travel patterns—remained significant. The increasing use of digital platforms for business and personal interaction also reduced the necessity for in-person trips, especially for conferences and events.

The five-year period underscored how inbound travel to Canada is influenced by both domestic and external shocks—including exchange rates, geopolitical frictions, and changing tourism preferences. The ongoing tension with the US and competitiveness pressures, as well as broader uncertainty regarding global recovery and consumer sentiment post-pandemic, have shaped the trajectory of international visitation.