Air Canada and WestJet Respond to Weakened Demand for U.S. Travel Amid Trade Disputes

by Olawunmi Sola-Otegbade
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Air Canada and WestJet Respond to Weakened Demand for U.S. Travel Amid Trade Disputes

Air Canada has announced plans to reduce capacity on routes to Florida, Las Vegas, and Arizona starting in March. The airline cites the ongoing Canada-U.S. tariff dispute and the weakened Canadian dollar as key factors behind the decision.

Similarly, WestJet is monitoring declining interest in U.S. travel, with CEO Alexis von Hoensbroech revealing that demand has dropped by 25% in recent weeks. While no immediate capacity cuts have been confirmed, von Hoensbroech noted that the airline is evaluating its transborder operations closely.

The economic challenges, coupled with softening demand, have been attributed to trade tensions and unfavorable exchange rates, which are discouraging Canadians from traveling south.

A recent Leger poll conducted from January 31 to February 3, 2025, highlights this shift, showing that 48% of Canadians are less likely to visit the U.S. this year, a significant increase from 29% reported in mid-January.

Source: Swifteradio.com

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