We at YourDailyAnalysis note that Air Canada has announced a major expansion of its route network from Billy Bishop Toronto City Airport, with new services to New York, Boston, Washington, and Chicago planned for spring 2026. Despite ongoing trade tensions between Canada and the United States, the country’s largest carrier is betting on business travel growth, which, in our view, remains stable even amid a broader slowdown in leisure tourism.
According to Air Canada’s Chief Commercial Officer Mark Galardo, political uncertainty will not derail the company’s strategic plans: its long-standing goal to double capacity at Toronto’s downtown airport remains unchanged. We at YourDailyAnalysis believe that the sustained flow of business travelers between Canada and the U.S. underscores the strength of economic ties between the two countries, even as tourism demand weakens.
Data from Statistics Canada show that in September 2025, the number of returning Canadian air travelers from the United States fell by 27.1%, while returns from other overseas destinations rose by 3.9%. This indicates a clear shift in travel behavior, driven by trade tariffs and stricter U.S. immigration policies.
However, according to the U.S. National Travel and Tourism Office (NTTO), about half of all Canadian business trips to the U.S. originate from Ontario – the nation’s main economic hub and home to Toronto. We at YourDailyAnalysis view this as evidence that Ontario’s business community remains highly engaged in cross-border activity, positioning Air Canada’s corporate routes as strategically vital for the years ahead.
Galardo emphasized that U.S. business travel to Canada has not declined, and overall corporate travel “has remained relatively robust.” This aligns with our own analysis – despite geopolitical and trade tensions, cross-border business engagement continues to be resilient and a key source of stability for airlines.
According to World Travel and Tourism Council data, international tourism spending in the U.S. is expected to fall by around 7%, or $12.5 billion, in 2025 – reflecting a broader downturn in global travel to the U.S. Against this backdrop, Air Canada’s decision to strengthen its focus on business routes appears strategically sound, positioning the airline to capitalize on a profitable, less volatile market segment.
We at Your Daily Analysis see this move as part of a long-term trend – airlines are increasingly pivoting from mass tourism toward stable business travel, which can sustain steady revenue even during geopolitical turbulence.
Earlier, we wrote that European aerospace giants reach framework agreement on satellite business merger.
