Statistics Canada
Symbol of the Government of Canada

Cross-border travel, the loonie and oil prices

Warning View the most recent version.

Archived Content

Information identified as archived is provided for reference, research or recordkeeping purposes. It is not subject to the Government of Canada Web Standards and has not been altered or updated since it was archived. Please contact us to request a format other than those available.

A rising Canadian dollar usually encourages more cross-border travel and shopping.

In November 2007, the dollar appreciated to US$1.03 and the number of trips to the United States rose to 3.8 million. By November 2008, the dollar depreciated to US$0.82, and the number of Canadians’ cross-border trips retreated to 3.1 million.

Oil prices, which significantly affect the transportation costs of cross-border travel, played a role. Gasoline prices in Canada climbed 84% from January 2002 through May 2008: in the United States, prices jumped 176%. This increase was mostly the result of the 57% rise of the loonie against the U.S. dollar over that period. In other words, it could have been worse for travellers if the loonie had not appreciated while oil prices were rising.