The impact of patriotic Canadians determined to stay on home turf instead of travelling south of the border is continuing to be felt by the tourism industry.
Because of a drop in passenger numbers, Clipper sailings between Victoria and Seattle have been reduced to help the service “economize on costs.”
“By the time 2025 is over, we will have performed about 20 per cent fewer sailings than last year,” said Clipper chief executive Mark Collins.
The current spring service has been cut from seven to five round-trip sailings per week, with the Clipper not in operation on Tuesdays and Wednesdays – something that will be repeated in the fall.
And for the peak summer season – mid-June to mid-September – the service will be open all week, with only one daily round-trip. This is in stark contrast to last year, when the number of round-trips per week fluctuated between nine and 11, according to demand.
“That's a pretty significant reduction for us because this is peak season and the ship is often running with 400 or even 500 people on it,” said Collins.
The news comes days after Black Ball Ferry announced the M.V. Coho will run fewer times than usual between Victoria and Port Angeles at the start of June due to “current travel demand."
Less Clipper sailings mean cuts have been made elsewhere in the company, says Collins. Twenty staff members have been laid off in Seattle, while fewer shifts will be available for 10 of the 16 team members in Victoria.
A dramatic drop in the volume of passengers is to blame, both in Victoria and south of the border, he says.
According to the chief executive, the Clipper has seen a 35 per cent drop in passengers originating in Canada, and up to a 12 per cent decrease in its traffic originating in the U.S.
“So those are very significant numbers for us … our ship is operating at between 30 and 40 per cent full some days,” he said.
The continuing tension caused by U.S. President Donald Trump’s trade tariffs and his repeated calls for Canada to become the 51st state is one of the reasons for the drop in passenger numbers, says Collins.
“Canadians feel insulted and they don't feel inclined to travel, and I totally understand that,” said Collins, who is Canadian himself.
A less than favourable exchange rate for Canadians, and tales of enhanced enforcement at the U.S. border, have also played their part, he adds.
“I will say we've had no problems on our border crossing, the U.S. customs and immigration officials are based in Canada, and I think they have an understanding of Canada, and we've had no difficulties,” Collins said.
As to why there has been a drop in U.S. passengers, Collins says Americans worried about the possibility of uncertain economic times ahead are choosing to vacation closer to home.
“The region of Washington state is already one of the most expensive places in the United States to live, and people are feeling the pressure,” he said.
“And when that uncertainty creeps into the economy, people set out to economize and often tourism and discretionary dollars are the first things they cut back on.”
To combat the declining passenger numbers, Collins says his team is pivoting its marketing and sales efforts to the U.S.
“It's a tough sell in Canada right now to convince people to travel because of the reasons that are very personal to Canadians,” he said. “But in the U.S., we can try to convince them that there's still good value … the exchange rate is in their favour.”
Despite the cutbacks, Collins is hopeful the Clipper service will navigate its way through the current turbulent waters in "as good a shape" as they can.
“The great thing about tourism, although it's affected first when there's a pullback in the economy, it often bounces back quickly, like you saw after COVID – that pent-up travel demand often comes back quickly."
