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Date:Fri, 20 Nov 1998 17:53:31 -0500 (EST)
From: TInews Announcement
To: tiannounce@tinet.ita.doc.gov
Subject: TInews: Canadian Arrivals Plummet in August 1998, Down 22%

=== TINEWS ===================================

An information service from Tourism Industries
http://tinet.ita.doc.gov/
U.S. International Trade Administration
U.S. Department of Commerce

11/20/98

Canadian Arrivals Plummet in August 1998, Down 22%

Contact: Tourism Industries office
E-mail: otti@trade.gov
Web: http://tinet.ita.doc.gov
Phone: (202) 482-0140, Fax: (202) 482-2887

Monthly arrivals from Canada dropped at an astonishing rate in August, down more than 22 percent compared to the same month of 1997. Arrivals of one or more nights registered 1.6 million.

The negative performance for the month of August was a result of steep declines in all modes of transportation to the U.S.. While negative, air travel declined by only 2 percent, the first decline in this mode since the inclement weather in the early months of the year. The strike by Northwest airlines may have been influential in this decline. Air trips totaled 325,000 in August.

Auto travel was particularly hard hit with trips of one nights* duration, decreasing nearly 26 percent, while longer trips were even more negatively impacted, losing more than 28 percent. Undoubtedly the drop in the buying power of the Canadian dollar had an adverse impact on discretionary travel. In fact, only one month of 1998 did not register a decline in auto travel: April*s performance was marginally positive (0.5%).

Bus travel posted an 11 percent decline, while train travel was down a stunning 30 percent. The *pedestrian/other* category dropped 12 percent

Year-to-date arrivals from Canada were down more than 11 percent, with 9.7 million travelers of one or more nights recorded in the first eight months of 1998. Compared to the same period of 1997, this is a loss of 1.2 million travelers!

The Canadian Tourism Commission (CTC) reports: *In terms of Canadian outbound, the number of tourists to the US fell big time in August (-22.1%) for a cumulative drop of 11.3%. Canadian outbound to overseas countries continues to increase, up 5.3% for the Jan-August period; however, for the month of August, outbound travel to overseas countries was up only 1.6%.*

Tourism Industries* forecast calls for a 7 percent decline in Canadian arrivals to the U.S. and an 8 percent increase in US travel to Canada.

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For more information on Tourism Industries* Canadian Statistics program or to view a summary table of arrivals, expenditures and length of stay by state for 1997, please visit our web site at http://tinet.ita.doc.gov. Monthly aggregate data on Canadian arrivals to the U.S. in through March 1998 are found on the site at Monthly Tourism Statistics, Arrivals to the U.S., 1998, Section 1. U.S. resident travel to world regions, including Canada, is posted in Monthly Tourism Statistics as well.

Stay tuned to the TINet website and TINews for future developments and/or analyses of the Canadian market.

To Order from the Internet: You can order the 1997 annual report on Canadian Travel to the U.S. from TI's website 24 hours a day. This publication will provide in-depth analysis of the market in the past year and also provide an historic perspective of arrivals to the U.S. In the Market Analysis section, scroll down to the Canadian Statistics program and click on *Most Current Publication*.

To Order by Fax: Fax 1-202-482-2887 with a written request for the 1997 annual Canadian Travel to the U.S. report. Please provide your full mailing address (this report is too lengthy to FAX) and phone number.

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Tourism Industries, International Trade Administration U.S. Department of Commerce, Room 1860 Washington, D.C. 20230 (202) 482-0140, fax: (202) 482-2887 e-mail: otti@trade.gov

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