Canadian shoppers significantly impact U.S. businesses
A rising "Buy Canadian" movement is impacting U.S. businesses, particularly in tourism and alcohol sales. This surge in Canadian consumer patriotism is linked to ongoing trade tensions with the United States. Early reports indicate that U.S. tour operators are facing booking declines of up to 85%, while many American distilleries are losing significant deals. Canadian shoppers are increasingly choosing local products over American imports. Grocery stores in Canada have seen a 10% increase in sales of domestic products, as consumers respond to political tensions. The rhetoric from U.S. leaders about Canada has intensified feelings of nationalism among Canadian shoppers. Tour operators are experiencing dramatic decreases in business. One operator reported just two bookings in recent weeks compared to 39 during the same period last year. Many tours to the U.S. have been canceled due to customer concerns over trade policies and Canadian sovereignty. There has also been a significant drop in cross-border travel, with Canadian car trips to the U.S. down 23% from last year. The U.S. Travel Association warns that if Canadian visitor numbers decrease by 10%, it could lead to over $2.1 billion in spending losses and threaten many jobs in the U.S. tourism sector. Canadian grocery chains also report that their sales of Canadian products are rising as shoppers shift away from U.S. goods. Experts suggest that if Canadians spent just a small amount more on domestic products, it could boost the economy and create thousands of jobs. However, U.S. distillers, who rely heavily on the Canadian market, are experiencing setbacks. Losing contracts to sell products in Canada could result in job layoffs in the U.S. Some American distilleries, like Brough Brothers in Kentucky, are feeling the sting of these trade tensions. The distillery lost a valuable deal to sell bourbon in Canada, which would have helped increase sales by 2.55% this year. The industry calls for collaborative solutions moving forward, as they continue to face challenges from the "Buy Canadian" trend.