Younger Canadians show strong enthusiasm for U.S. travel, with 45% of Gen Z individuals (born 1997-2012) planning a trip south next year. This contrasts sharply with just 8% of Boomers (born 1946-1964).
Among those traveling in 2026, 61% of Gen Z respondents include the U.S. on their itinerary, outpacing 48% of Millennials (born 1981-1996), 28% of Gen X (1965-1980), and 14% of Boomers.
Shifting Travel Preferences
The 2026 Smart Traveller Survey, conducted in March by the Travel Health Insurance Association of Canada (THIA), reveals that 36% of Canadians prefer domestic destinations over international ones. Europe now leads as the top overseas choice, drawing 26% of respondents.
Key Deterrents by Generation
Boomers identify political tensions between Canada and the U.S. as their top barrier, with 51% citing it as the main reason to skip cross-border trips. For Gen Z, costs top the list at 36%, followed by insufficient paid time off at 22%.
This aligns with trends from flight comparison site Skyscanner, where 56% of Gen Z Canadians report making financial sacrifices for recent vacations. Two-thirds (66%) skip dining out to save for trips, half (50%) reduce clothing purchases, and 48% opt for budget-friendly activities.
We’re seeing a clear generational split among Canadians as they consider both their political views and economic conditions when planning travel. Despite ongoing political tensions, younger Canadians still show strong interest in travel to the U.S., instead citing rising costs as their biggest barrier to travel. Meanwhile, older travellers continue to be deterred by cross-border political uncertainty.
— Will McAleer, THIA spokesperson
Declining Cross-Border Traffic
Political strains have intensified due to tariffs from U.S. President Donald Trump and proposals to make Canada the 51st state, alongside stricter border security. Statistics Canada data confirms cross-border travel from Canada to the U.S. dropped for the 14th straight month in March 2026, with passenger numbers at the eight largest Canadian airports down 7% from March 2025.
Airlines adjust accordingly: Air Transat cancels all U.S.-bound flights for summer 2026, while WestJet drops 16 routes.
Domestic Travel Boom
Domestic air traffic surges 10% year-over-year in March 2026. Leading airports include Halifax/Robert L. Stanfield International (+15%), Toronto/Lester B. Pearson International (+14.1%), and Calgary International (+11.3%), signaling a shift toward staycations.
