Friday, May 23, 2025
US-Canada tensions are expected to significantly impact New Hampshire’s summer tourism, with projections indicating nearly five million visitors, down from previous years. The primary reason for this decline is the political strain between the two nations, particularly due to President Trump’s handling of bilateral relations, which has led many Canadian tourists to reconsider their travel plans to the US. As a result, businesses in New Hampshire’s North Country, heavily reliant on Canadian visitors, are already feeling the effects, including cancellations for lodging, tours, and outdoor activities. With these tensions continuing to affect travel decisions, state officials are closely monitoring the situation and taking steps to mitigate the impact on the state’s tourism economy.
New Hampshire’s tourism sector is bracing for a dip in visitor numbers this summer, with state officials projecting a decline to 4.6 million tourists, down from approximately 4.8 million last year. This anticipated drop can be attributed to a variety of factors, including the impact of rising political tensions between the US and Canada, particularly in response to President Donald Trump’s handling of bilateral relations. In response to this forecasted downturn, the state’s tourism leaders are exploring ways to mitigate the impact, though no radical strategies are in place just yet.
The core issue, according to experts, lies in the hesitancy of Canadian tourists, who make up a significant portion of the state’s summer visitors. Many Canadians are reportedly rethinking or cutting back on travel to the US, citing dissatisfaction with the current political climate and its perceived negative effects on their experiences abroad. As a result, businesses in New Hampshire’s North Country have already begun to feel the strain. Lodging reservations, bike tours, and kayak rentals — activities traditionally popular among Canadian tourists — have seen noticeable cancellations, directly affecting local economies.
In an effort to combat the projected downturn, the state is investing in a substantial marketing initiative. Business and Economic Affairs Commissioner Taylor Caswell announced a $3.6 million summer advertising campaign that will target potential visitors in the Northeast U.S. and the Montreal region. The campaign will spotlight New Hampshire’s natural beauty and outdoor attractions, aiming to entice tourists back to the state despite the current political landscape. While these ads are expected to have some impact, Caswell emphasized that the strategy was more of a continuation of established marketing efforts rather than a radical overhaul designed specifically in response to the Canadian boycotts.
As Memorial Day weekend signals the start of the summer tourism season, local chambers of commerce are closely monitoring the situation. Many businesses in the North Country, which is most reliant on Canadian visitors, are already feeling the effects. In some cases, establishments have seen a marked decline in cross-border tourism, which is a significant revenue generator for regions like the White Mountains. With fewer Canadians arriving, local businesses are working to adapt, including reconsidering their outreach efforts and fine-tuning their marketing strategies to ensure that they remain competitive.
One of the major areas where the decline in tourism will be felt is in the state’s revenue collections. New Hampshire’s tax system relies heavily on income from its rooms and meals tax, which is paid by tourists who stay in local accommodations and dine at restaurants. Commissioner Lindsay Stepp, the state’s chief revenue official, recently informed a House committee that the projected decline in Canadian visitors would likely lead to a drop in tax revenue, particularly from the rooms and meals tax. Typically, Canadian visitors contribute around 5% of the total revenue collected from this tax, so any reduction in their numbers will have a direct effect on state income.
While the state’s budget proposal initially forecasted a 2% increase in rooms and meals tax revenue for the upcoming year, Stepp’s latest projections suggest that the ongoing tensions with Canada may result in a measurable shortfall. This drop in tax revenue could have a ripple effect, particularly in the North Country, where tourism spending is a key driver of the local economy. From gas purchases to bike rentals, tourists spend money across a range of services that benefit local businesses. However, with fewer visitors expected, the impact will be felt across various sectors, from hospitality to retail.
Despite these challenges, state officials remain optimistic about the long-term prospects for tourism in New Hampshire. The state’s unique blend of outdoor recreation, picturesque landscapes, and charming small towns continues to attract a wide range of visitors from both the U.S. and abroad. While the political climate may be influencing Canadian travel patterns in the short term, tourism officials believe that New Hampshire’s natural attractions will continue to be a draw, even as the state faces challenges this summer.
In the coming months, it will be crucial for New Hampshire’s tourism industry to monitor the evolving situation and adjust their strategies accordingly. If the number of Canadian visitors does not bounce back, it will be important for businesses to find new ways to attract other tourists, potentially focusing more on US-based visitors or expanding efforts in international markets outside of Canada. Tourism boards will also need to carefully consider how to address the political sensitivities that may be deterring Canadian travelers and whether any diplomatic efforts or outreach could help mend relations and rebuild confidence in cross-border travel.
US-Canada tensions are set to reduce New Hampshire’s summer tourism, with nearly five million visitors expected, as many Canadians opt to avoid travel to the US due to political strains. This decline is particularly felt in the North Country, where Canadian tourists play a vital role in local economies.
For now, New Hampshire’s businesses are holding their breath as the summer tourism season gets underway. With fewer Canadian tourists expected, the focus will be on how effectively the state can attract new visitors, manage the loss of revenue, and support local businesses during a challenging time. Whether the $3.6 million marketing campaign will be enough to offset the decline remains to be seen, but for many, the hope is that New Hampshire’s charm and natural beauty will still be enough to draw tourists in, even amid the current political climate.
