Canadian travel cancellations start adding up to economic loss for Adirondack businesses
By Tim Rowland
Ed Palen, owner of Adirondack Rock and River Lodge in Keene received a very pleasant note last week with some less-than pleasant news: A Canadian hiking group with a long history of visiting the Adirondacks each summer would not be coming this year due to the agitated state of the current U.S. politics.
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“They said ‘we love coming to the Adirondacks and it has nothing to do with you, but (Canadian Prime Minister) Justin Trudeau asked us not to travel to the U.S. until the political climate changes, and we are taking that literally,’” Palen said.
As winter winds down, tourism officials are keeping one eye on the border to see if anecdotal evidence of soured relations between the two nations translates into real economic damage.
“We are two regular Canadian visitors to the Adirondacks; it is one of our favorite places,” wrote a poster on Instagram. “It pains me to say the U.S. president’s recent offensive and disrespectful behavior toward Canada has caused us to decide not to return to the U.S. while DJT is in power.”
Among President Donald Trump’s first presidential actions last month was to announce a 25% tariff on most Canadian imports, and 10% on oil. Although he later backed down, his tactics caused hard feelings up north and led, among other things, to the booing of the Star Spangled Banner at NHL games.
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According to the Regional Office of Sustainable Tourism (ROOST), about 5% of the visitors to the Northern Adirondacks are from Canada, and even losing 1% of that would mean a $12 million blow to the Adirondack economy, plus the loss of $583,000 in tax revenue.
Tourism officials respond
ROOST CEO Dan Kelleher said the agency is “receiving feedback that many Canadian travelers have opted to change or cancel their U.S. travel plans.” That’s created some fear in the hospitality industry about what might lie ahead.
Through credit card and cell phone data, ROOST can tell if there’s been a dent in Canadian traffic, although Kelleher said it would be another month before such trends, if any, could be identified. Meanwhile, he said “we’re trying to be proactive,” with targeted advertising letting Canadians know “that they are welcome and they are loved.”
In a statement released Wednesday, ROOST noted that Adirondack communities “have always enjoyed a strong relationship with their Canadian neighbors, traveling freely and often across the border for vacations, shopping, sporting events and day trips.”
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Impacts on regional businesses
At Rock and River, Palen said about 15% of his business is Canadian. The recent cancellation will cost the business $5,000, and while a couple weekend days can probably be recouped, the rest of the week likely cannot. The cancellation will affect other Adirondack businesses as well, he said, since the Ottawa group ate at local restaurants and bought gear in Keene Valley.
Palen said he didn’t try to change their minds, but wrote them back to say that he understood and assured them they would always be welcome back.
The mercurial Trump has not entirely taken the possibility of tariffs off the table, and has already enacted steep tariffs on steel and aluminum. That in itself is a blow to Canada, which sends more steel to the U.S. than any other country, according to the American Iron and Steel Institute. The resulting economic damage could hurt the North Country indirectly as well, said Garry Douglas, president of the North Country Chamber of Commerce in Plattsburgh.
If tariffs are enacted, it could damage the Canadian economy. That could prevent Canadian citizens from vacationing in the U.S., or anywhere else.
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“Don’t think this doesn’t impact tourism and cross-border shopping; it is estimated that these huge tariffs, if not short-lived, could knock at least three points off Canada’s GDP, potentially causing a recession,” Douglas wrote in a briefing to chamber members when the tariffs were first announced. “We know a recession undercuts consumer spending and travel, not to mention predictable negativity by many of our neighbors towards spending in the U.S. as a result.”
Looking ahead
Kristy Deyo Farrell, owner of Cedar Run Bakery and Market, as well as rental properties in Keene, said there’s some general nervousness in tourism circles about what appears to be an uncertain future.
Farrell said she hosted some Canadian guests in a cabin over the weekend and “apologized profusely” for the unsettled state of American politics. The family said it was not planning to alter its travel plans, but knew of other Canadian friends who had decided they would not be visiting the states this year.
The hospitality industry does have recent evidence of what it means to miss out on Canadian business. The Covid-19 pandemic shut down the borders, and when closure was lifted the industry benefited from a noticeable uptick in traffic.
Farrell said she’s hopeful the results of the recent kerfuffle will be minimal, and that the hard feelings won’t last. “I don’t think it’s going to tank the economy,” she said. “They love the mountains and lakes, and I think they’ll start missing them.”
Photo at top from Pexels.com
You mean like when the boarder was completely closed to Canada and yet we had a great tourism. Stop fear mongering it’s a bad look.
When you play stupid games, you win stupid prizes. Just wait and see how things start to unfold; we are three weeks in to a new administration that has expanded executive power by a staggering amount. I hope you like the taste of crow, if you have read project 2025 the goal is simple. Stagnate the economy so the wealthiest can swoop in and buy distressed assets from the middle class at a discount.
Its amazing how this is all public information you can read and educate yourself on, yet some people are cheering on their own future hardship.