Economic Strain in Small-Town America as Canada-U.S. Border Crossings Decline

Since the onset of tariffs imposed by Donald Trump's administration, towns like Port Huron are experiencing economic downturns as Canadian tourists significantly reduce their visits, leading to changes in local business dynamics.

At the end of her waitressing shift, Kristina Lampert used to split her earnings in two – Canadian cash on one side, American on the other. But for weeks, that practice has been a thing of the past. Freighters, the eatery she works at, sits at the gateway to the United States, welcoming diners who cross the Blue Water Bridge from Sarnia, Ontario. With a mere glance out its windows, the bridge connecting both nations is in full view.

“People used to come to enjoy the scenery,” Kristina recalls wistfully. “Now I haven’t heard that in weeks.” Port Huron, situated just across the border from Canada, witnessed a steep drop in cross-border traffic when Donald Trump initiated tariffs aimed largely at global trade, declaring intentions of bringing Canada closer to the U.S. fold.

According to data from Customs and Border Protection, border crossings between the two countries have decreased by 17% as tariffs took hold. Statistics Canada highlights a staggering 32% reduction in car trips by Canadians into America since March 2024, a clear sign of the economic strain impacting both nations.

This border town economy, with around 30,000 residents, has relied heavily on the influx of Canadian visitors for retail and dining opportunities. Just a quick drive for a Sarnia resident could see them enjoying a day in Michigan, yet many are choosing to stay put amid heightened tensions between the neighbors.

The effects of this trend are evident at Sarnia's Duty Free shop, a haunt for those crossing the border. Once bustling with customers, its aisles now overflow with goods as sales plummet following the tariff strain. Barbara Barett, the executive director of the Frontier Duty Free Association, states that over half of the land-border duty fee stores in Canada experience reductions in revenue ranging from 50% to as much as 80%. “Our communities depend on this traffic,” she emphasizes.

Tania Lee, who oversees the Sarnia Duty Free, admits they now struggle with a scarcity of customers. Long-standing traditions, such as Easter weekend pilgrimages to Port Huron, have diminished, leaving businesses grappling with less foot traffic than they are accustomed to.

Port Huron's Mayor, Anita Ashford, expresses concern as both residents and visiting Canadians voice their frustrations. “A national 10% decline in Canadian tourists could equate to a loss of up to 14,000 jobs and $2.1 billion for the U.S.,” she warns, mentioning Michigan’s losses of $238 million from Canadian visitors in 2023.

“We need to bridge this divide,” Mayor Ashford implores, calling for recognition of the repercussions of governmental policies on the everyday lives of border towns. “We need each other,” she concludes, highlighting the intertwining destinies of both nations.