During a recent event in Las Vegas, President Donald Trump discussed the ramifications of his federal tax changes for tipped workers, reiterating his contentious stance on relations with Canada. While addressing an audience at the Red Rock Casino Resort and Spa, he remarked, "Canada's nasty, they are, they're nasty," reflecting ongoing tensions between the two nations.
This harsh rhetoric coincided with a burgeoning trade dispute that has become increasingly frosty in the weeks that followed Trump's comments. After unsuccessful negotiations, the U.S. instituted substantial tariffs of 50% on around $20 billion worth of Canadian goods. Canada promptly announced retaliatory tariff hikes on U.S. imports, set to take effect on September 8.
A statement from the White House underscored the administration's perspective, claiming that "Canada has been ripping off the United States for decades," and characterizing their trade practices as "clear and deliberate" abuse. In response, Canadian Prime Minister Mark Carney acknowledged the evolving dynamics, asserting, "I recognised from the beginning that America has changed, and that we will not return to our old relationship."
Las Vegas officials are acutely aware of how these diplomatic tensions affect their tourism-dependent economy, particularly since the beginning of 2025. International passenger traffic at Harry Reid International Airport fell 7% last year, continuing with a 9% decrease in the first part of 2026. Canada’s two primary airlines serving Las Vegas, Air Canada and WestJet, reported notable declines as well, with traffic down 22% and 28% in 2025, respectively. By July, Air Canada saw a 13% drop and WestJet reported a 23% decrease in travelers.
The strained relations prompted Las Vegas stakeholders to proactively engage with Canadian tourists. Steve Hill, CEO of the Las Vegas Visitors and Convention Authority, has made multiple trips to Canada over the past year to reassure potential visitors. Joining him was MGM Resorts CEO Bill Hornbuckle, who reiterated Las Vegas's appeal during a media appearance on Your Morning Vancouver on August 18, saying, "Las Vegas loves you, we need you, the reason I’m sitting here is [because] we want you. Canada has been the number one international destination for Las Vegas and for the United States forever."
In efforts to attract Canadian tourists in light of unfavorable currency exchange rates, three downtown casinos owned by Derek Stevens—Circa, The D, and Golden Gate—implemented the "Vegas At Par" promotion, allowing Canadian visitors to enjoy hotel and gaming deals that effectively matched the currency exchange. Stevens, who has close ties to the Canadian border, acknowledged on social media that "Las Vegas misses Canada."
Comprehensive data reveals a significant 25% decline in Canadian travel to the U.S. in 2025, with visits dropping from 39 million in 2024 to 29.1 million the following year. Spending by Canadian tourists in the U.S. decreased by $3.3 billion last year. Analysts Laura Presley and Carter McCormack attribute the decline to a marked shift in Canadian travel sentiment, correlating with the U.S. administration's "America First" policies initiated in early 2025. By the end of that year, two-thirds of all border crossings from abroad by Canadian residents were returning from the U.S.
As the year progresses, Las Vegas approaches a peak travel season, with major holidays and a variety of sporting events drawing visitors. Notably, hockey could play a crucial role in rebuilding Canadian tourism, as the Las Vegas Golden Knights are set to host several home games against Canadian teams in the fall.
Brendan Bussmann, a consultant with B Global Advisors, pointed out that hockey fans are a significant segment of Canadian travelers, alongside business and leisure visitors. While he noted a relative uptick in business travel signified by Air Canada’s improved performance over WestJet, Bussmann conveyed a level of confidence regarding the future of Canadian tourism. He stated, "I think [Canada] will continue to play a significant role in the overall international mix, at least in the short-term. As we’ve seen over the last year, that market has started to come back, and even with the latest volley back and forth, people will come here whether it’s for hockey, whether it’s for vacation or whether it’s for anything else."
