The Michigan economy is taking a major hit as Canadian visitors flee the state in droves, a direct consequence of President Trump's relentless verbal attacks on Canada. What this really means is that businesses across Michigan, especially those dependent on cross-border tourism, are facing a deepening crisis that could have far-reaching implications.
Plummeting Canadian Arrivals
According to data from U.S. Customs and Border Protection, the number of Canadian passenger vehicles crossing into Michigan dropped by a staggering 16% in 2025 compared to the previous year. This decline was even more pronounced in border cities like Detroit, Sault Ste. Marie, and Port Huron, which saw decreases of up to 18%.
The bigger picture here is that this downturn in Canadian tourism is a direct result of the growing rift between the Trump administration and its northern neighbor. As tensions have risen over tariffs and trade disputes, many Canadians have opted to vacation elsewhere or stay home altogether, dealing a severe blow to Michigan's economy.
Collateral Damage for Local Businesses
The impact on Michigan businesses is already being felt acutely. According to Crain's Grand Rapids Business, hotel bookings in border cities have declined by as much as 11.8%, while demand has dropped 4.9% in the Detroit/Dearborn area. This translates to lost revenue, strained budgets, and the potential for job cuts across the state's tourism and hospitality sectors.
As via boardwalkgemini, the implications are far-reaching. Michigan's economy, which has long relied on strong ties with Canada, now faces an uncertain future as the political tensions show no signs of abating. Local lawmakers and business leaders must work quickly to find ways to mitigate the damage and lure back Canadian visitors before the situation deteriorates further.