Duty-free shops struggle to make ends meet as Canadians steer clear of U.S. 

Sheena Goodyear · CBC Radio

· Posted: Apr 11, 2025 5:57 PM EDT | Last Updated: 12 minutes ago

If concern doesn't prime up soon astatine his duty-shop, Éric Lapointe says he's going to person to laic radical off. 

"I've had 3 customers contiguous truthful far," the store proprietor told As It Happens big Nil Kӧksal connected Friday afternoon. "It's a fraction of what we usually person astatine this clip of the year."

Lapointe says concern is down 60 per cent implicit the aforesaid clip play past twelvemonth astatine the Boutique Hors Taxes de la Beauce adjacent Quebec's borderline with Maine. 

He's not alone. Duty-free shops crossed the country, inactive recovering from pandemic question restrictions, are reporting monolithic drops successful concern successful caller months arsenic Canadians progressively debar travelling to the U.S.  

Licensed by the the Canada Border Services Agency astatine 52 onshore borderline and planetary airports successful Canada, duty-free stores sell products, including tax-free booze, to cross-border travellers, and are legally incapable to pivot to deliveries oregon online sales. 

"If we person cipher that travels successful the U.S., we person nary customers," Lapointe said.

Fewer trips south

Sales astatine duty-free stores person fallen betwixt 40 and 50 per cent crossed the state since precocious January, with immoderate distant crossings reporting declines of up to 80 per cent, according to the Frontier Duty Free Association, which represents 32 specified stores.

"It conscionable dropped disconnected the cliff," Barbara Barrett, the association's enforcement director, said. "It's precise grim."

The fig of instrumentality trips among Canadians travelling to the U.S. successful March plummeted compared to the erstwhile year, according to Statistics Canada. Air question dropped by 13.5 per cent portion onshore question fell 32 per cent.

The driblet coincides a pivot to domestic tourism as U.S. President Donald Trump launches a commercialized warfare with Canada and different countries, and makes repeated threats to Canada's sovereignty. 

Several Canadians besides told CBC they've cancelled trips due to the fact that they fearfulness heightened scrutiny by U.S. borderline guards, something the Canadian authorities has warned travellers about. 

Canadian Jasmine Mooney was recently locked successful a U.S. detention installation for 11 days implicit difficulties with her U.S. visa renewal application, and has since described being kept successful harrowing conditions. Two German tourists and a backpacker from Wales person besides been detained successful caller months. 

What's more, the dip in cross-border onshore question goes some ways. Car visits by U.S. residents dropped 11 per cent past period compared to a twelvemonth earlier, the 2nd consecutive period of year-over-year declines.

"It's similar the Americans are shy to travel to Canada," said Philippe Bachand, who runs a duty-free store southbound of Montreal, pointing to the boos that American sports teams person received successful Canada. "It's not welcoming."

Calls for help

As duty-free stores get caught successful the crosshairs of a commercialized warfare and geopolitical tensions beyond their control, the Frontier Duty Free Association is calling on the national authorities to connection enactment successful the signifier of grants oregon loans to thrust retired the disruption.

Many of these stores, the relation says, are inactive recovering from pandemic losses. 

"I conscionable woke up from my COVID hangover, and I'm having a tariff nightmare," John Slipp said portion driving to the duty-free outlet successful Woodstock, N.B., that his begetter founded successful 1985.

WATCH | A B.C. duty-free store proprietor fears for his household business: 

Cameron Bissonnette is acrophobic helium will be forced to close his duty-free store successful Osoyoos, B.C., which has been successful his household since the '80s, and which helium had intended to walk onto his children. 

During a caller interrogation with CBC News, helium broke down successful tears portion discussing the aboriginal of his household business, which helium says has already dropped from 15 employees to conscionable three. 

"It's getting to a constituent wherever you person to person a existent infinitesimal of reckoning," helium said.

Osoyoos Mayor Sue McKortoff told CBC that if the store closes, it volition interaction the assemblage arsenic well. 

"The duty-free is 1 of the champion businesses successful town," she said. "They've been precise supportive of the town. They've hired radical successful the town."

Lapointe, meanwhile, says that if income don't pick up implicit the usually bustling Easter agelong weekend, he'll person nary prime but to fto workers go.

He says helium doesn't privation to suffer his business, which is beloved to his heart.

"I started to enactment present successful 1990 arsenic a student, past I became the adjunct manager, past the manager for 20 years and I bought the store 3 years ago," helium said.

"So for me, that store is my home."

With files from The Canadian Press and CBC B.C. Interview with Eric Lapointe produced by Leïla Ahouman.