Canada’s tourism sector recorded its strongest summer on record in 2025, generating nearly $60 billion in revenue between May and August. The 6% year-over-year increase marked a milestone for the country’s travel industry, driven by domestic and international demand that spread economic benefits across nearly all regions.
According to preliminary estimates from Destination Canada, the summer’s $58.96 billion total underscores both the resilience and geographic reach of the sector. A robust base of Canadian travellers and rising overseas visitor spending helped power the growth, reflecting renewed confidence in travel and tourism across the country.
Domestic Travel Drove Record Gains
Domestic tourism spending surged 6.9% compared with summer 2024, reaching $44.37 billion. Much of this came from inter-provincial travel, as Canadians increasingly explored regions beyond their home provinces. The “Canada Strong Pass,” a federal initiative to boost visitation to national museums and Parks Canada sites, also contributed to mid-summer gains.
Tourism growth proved widespread, with 89% of Canadian regions reporting higher visitor spending compared with the previous year. Notably, 59% of regions outperformed the average growth seen in Canada’s major metropolitan areas, signaling that visitors are increasingly drawn to destinations outside large cities.
Atlantic Canada emerged as one of the strongest performers, with record growth rates across several provinces. Manitoba, Vancouver Island, Saskatchewan, Nova Scotia, and New Brunswick also reported significant increases in occupancy and visitor spending.
Overseas Visitors Boost Spending
While domestic travel provided the foundation for growth, international visitors added substantial momentum. Overseas visitor spending rose 10.4% year over year, reaching $6.2 billion. This helped offset a slight 1.7% decline in spending from U.S. travellers, whose total fell to $8.4 billion.
In total, international tourism generated $14.59 billion over the summer, up 3.1% from 2024. Visitors from overseas markets spent more per trip on average, contributing to higher yields and underscoring Canada’s growing appeal as a long-haul destination.
“The overall strength, resilience, and geographic reach achieved this summer point to a new phase of opportunity for Canada’s tourism sector,” said Destination Canada in its report.
The full breakdown of who contributed to Canada’s nearly $60B summer is below.
| Category | Season (May to August) | Revenue (in 2024) | Revenue (in 2025) | YOY Change in Revenue | YOY % Change |
|---|---|---|---|---|---|
| International Tourism Revenue | Summer | 14.14B | 14.59B | 0.44B | 3.1% |
| • United States | Summer | 8.5B | 8.4B | -0.15B | -1.7% |
| • Overseas | Summer | 5.6B | 6.2B | 0.59B | 10.4% |
| Domestic Tourism Revenue | Summer | 41.50B | 44.37B | 2.87B | 6.9% |
| Total Tourism Revenue | Summer | 55.64B | 58.96B | 3.31B | 6.0% |
Accommodation Sector Reaches Highest Levels Since 2014
Canada’s accommodation sector reflected the broader boom, with both hotels and short-term rentals achieving strong results nationwide. National hotel occupancy reached 80.7% in August 2025 — the highest rate recorded since 2014 — despite an increase in room supply. Hotel revenue per available room (RevPAR) rose 7.6% compared with the previous summer, underscoring the strength of travel demand.
The summer’s success extended beyond traditional tourist centers. Rural destinations saw a rise in overnight stays, and smaller markets benefited from increased travel dispersion, with visitors seeking new and less crowded experiences across the country.
Destination Canada’s preliminary figures, based on the Local Area Statistics of Revenue (LASR), National Tourism Indicators, and Statistics Canada data, indicate that the sector is entering a period of renewed growth. With both domestic enthusiasm and international demand on the rise, Canada’s tourism industry appears well positioned for continued recovery and expansion in 2026.
