Case Study

Putting a Price on a Proposed Motorcoach Tariff

How an independent economic analysis gave motorcoach industry advocacy efforts the numbers to back it.

October 30, 2026

Updated October 30, 2026

In partnership with American Bus Association Foundation

US motorcoach operators rely heavily on Canadian-built vehicles. In 2024, with a 25% tariff on Canadian imports under consideration, the American Bus Association Foundation needed to understand what higher vehicle costs could mean for operators, travelers, and the wider US economy.

Tourism Economics modeled how rising coach costs would ripple through the industry, from reduced capacity and higher fares to lower demand and traveler spending, then measured the effects on US business sales, jobs, wages, and tax revenue.

The Result

The analysis showed $3.1 billion in annual US business sales and 14,460 jobs at risk, giving ABA concrete evidence for its outreach. It also revealed a less obvious finding: the tariff could cost the federal government more in lost tax revenue than it would collect. When final tariffs were set in October 2025, motorcoaches were treated very differently from other commercial vehicles.

Advocacy moves fast, especially when a new administration takes office. [Tourism Economics] gave us the facts we needed to make our case when it mattered most.

– Fred Ferguson, President & CEO, American Bus Association

By the Numbers

0

in annual US business sales at risk

0

US jobs at risk

0

in annual wages and salaries at risk

0

net annual loss in federal tax revenue

Download the Full Case Study

Explore Related Services

Read More Case Studies