Industry Lens: Air Transportation—August 2026

Industry Lens: Air Transportation—August 2026

Industry Economic Analysis
11 min read

Author: Robin Wiebe

$985.00

This report examines the short- and medium-term economic and profitability outlook for Canada’s air transportation industry.

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Fasten Seatbelts for Bumpy Ride

The shift in the destination preferences of travellers due to deteriorating relations with the United States will trigger a period of change for Canadian airlines. Carriers are trimming U.S. air routes while adding flights to Europe and non-U.S. sun destinations. How long Canadians’ travel patterns will shift has created uncertainty for airlines.

What are our predictions for the air transportation industry over the next five years? How has Canada’s increasingly tense relationship with the United States affected both the industry and travellers’ travel preferences? What recommendations did Competition Bureau Canada offer for boosting competition?

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