WEST PALM BEACH, Fla. (CBS12) — Florida tourism dipped for a second straight quarter, with lingering inflation and a sharp drop in Canadian visitors weighing on the state’s travel industry.

An estimated 34.01 million visitors traveled to Florida from April through June, bringing the first-half total to 73.5 million, according to Visit Florida, the state’s tourism marketing arm.

Domestic, overseas, and Canadian visitation all declined compared with the same period last year. Overall, tourism was down 0.7% in the second quarter and 1.4% through the first six months.

See also: South Florida family devastated after mother, 2-year-old daughter killed by lightning

Still, Florida continues to attract more visitors than before the COVID-19 pandemic, with Canada the notable exception.

Canadian tourism has taken the biggest hit. About 721,000 Canadians visited Florida during the second quarter, down 4.2% from a year earlier. Through June, 1.68 million Canadians traveled to the state — a 13.9% drop from the first half of 2025.

That’s also well below pre-pandemic levels. Florida welcomed about 848,000 Canadian visitors in the second quarter of 2019 and 2.29 million during the first half of that year.

The decline comes amid strained U.S.-Canada relations, including President Donald Trump’s repeated comments about Canada becoming the “51st state” and ongoing trade tensions.

A July report from Statistics Canada found that return crossings from the U.S. remained near late-2025 levels in early 2026, pointing to a continued shift away from the U.S. among Canadian travelers.

The report said the country had experienced an 11-month streak of year-over-year declines in crossings from the U.S., excluding the COVID-19 pandemic period.

The trend could pose a challenge for Florida’s winter tourism season, particularly as trade tensions continue.

News Service Florida reports Florida economists also flagged concerns about the state’s tourism outlook during an Aug. 14 revenue forecast update. The economists said inflation has outpaced wage growth and pointed to slowing tourism growth, construction and real estate activity.

Despite the recent declines, Florida’s tourism industry remains well above pre-pandemic levels.

Domestic travelers accounted for 31.08 million visitors in the second quarter and 67.33 million through June. That’s down slightly from 31.22 million and 68.2 million, respectively, during the same periods in 2025.

Overseas visitors totaled 2.21 million in the second quarter, down 3.7% from last year, but the first-half total of 4.5 million was up 2.2%.

Visit Florida President and CEO Bryan Griffin highlighted the state’s efforts to attract more visitors during an Aug. 12 event in Bristol, including a push to promote Florida’s historic attractions and rural communities.

“Tourism and travel make such a big difference for something like a main street, a restaurant, a lodging or an attraction around the state,” Griffin told reporters.

Florida’s tourism industry rebounded sharply after being battered by the COVID-19 pandemic in 2020. Since 2022, the state has surpassed its previous annual record of 131 million visitors set in 2019.