Uncovering the Truth at the Border: The Northern Side

Continuing our I-Team exclusive series, “Uncovering the Truth at the Border.”

News Channel 3’s John White took you to the Southern Border with Mexico.  He uncovered a sense of renewed purpose for border patrol. And, a decreased amount of illegal immigration. In Mexico, many concerned citizens wondering what could come next.

I-Team Reporter Karen Devine digging into what’s happening at the Northern Border with Canada.

President Trump enacting tariffs on both countries because of what he calls a matter of national security with illicit drugs like Fentanyl, human trafficking, and illegal immigrants coming across both borders.

According to a published report by Greater Palm Springs, Canadians contributed over a billion dollars to our local economy in 2023. 

Devine wanted to find out if the newly imposed tariffs would curb Canadians from spending their time and money in the Coachella Valley and the impact that would have in the desert.

Monte and Bev Graham love winter in the desert. Hailing from Sydney, British Columbia on Vancouver Island, near Victoria.  They bought their place in Indio two years ago and love the weather and getting outside during the winter months.

“There are all kinds of activities. I love to play pickleball, and it's just across the street, so I mean, it's, it's perfect for us,” said Monte Graham.

The active couple, making new friends in their community, including fellow Canadians who have a lot to say about the current political climate. 

“Our friends are telling us that they're going to not purchase American goods where they can avoid to and that's really not very productive for anybody, it's sort of set a bad taste in everybody's mouth.”

Even before tariffs were imposed, we saw fans of team Canada booing the American National Anthem at a hockey game. President Trump repeatedly saying Canada should become the 51st State. That not going over well with Canucks. 

Graham says that’s a lot of rhetoric. He’s more concerned about his pocketbook. Even now the Canadian dollar is weak and he says they pay a premium to stay in the U.S. 

“If the tariffs stay in place for a long period of time, I think that, and if our dollar drops, well, then we have decisions to make in terms of where we're going spend our winters,” said Graham.

And that’s where the valley could take a financial hit.  

In 2023 tourism generated about 7.4 billion in total spending in the greater Palm Springs area. 

Canadians make up approximately 20-25% of visitors.

In crunching the numbers that would mean they contribute around $1.48 to $1.85 billion dollars annually to the local economy

And, they don’t just visit, 8-10% of all properties in the area are owned by Canadians. 

“I think we spent like, if I take this small park here, it’s 375 units.  And, it’s roughly 40% Canadian.  Ok, so if you factor that out in terms of how much money spent, it’s almost 2 million dollars a year in this market alone," said Graham.

When it comes to running a business, Rod Vandenbos, founder and CEO of BuzzBox, a multi-million dollar premium alcohol business out of Indio, says taxes and tariffs definitely weigh heavy on the bottom line. Vandenbos, a dual citizen of the U.S. and Canada says tariffs can take a toll.

“We’ve been trying to get into Canada for quite a while and it’s difficult as it is, so tariffs would make it really tough and we’d hate to see that stand.  We hope that something can be worked out that would open that up and not just new tariffs, but that we could revisit some of the tariffs from Canada towards the US that have set in place for a long time,” said Vandenbos. 

Why would the U.S. pick a fight with our allies and neighbors to the north? 

It all comes down to what President Trump calls a threat to national security with an increase in illicit drugs like Fentanyl, illegal immigrants and human trafficking coming across the border.  

Stretching more than fifty-five hundred miles long with 120 land ports-of-entry, it is the worlds longest undefended border. 

The Canadians Devine spoke with understand this threat.

“I think that most of what’s going on is we’ve had a lot of bad actors who have taken advantage of that friendly, positive relationship between our two countries and unfortunately, now we have to step up and make some hard decisions and they’re not going to be easy,” said Vandenbos.

“The logic is to tighten up the border.  And, I mean we’ve seen in Canada a lot of gangs operating Canada.  Mexican Cartels are now very new to us, operating in Canada and you know, we need to get like the whole thing about the system is, it’s a catch and release system and we need to catch them and we don’t need to release them," said Graham. 

According to data from U.S. Customs and Border Patrol,  0.2% of all seizures of Fentanyl entering the U.S. are made at the Canadian border.

Almost all the rest is confiscated at the U.S. border with Mexico. 

Still Canada pledged nine hundred million dollars to combat Fentanyl and enhance border security, the prime minister appointing the country’s first Fentanyl czar.

“I hear a lot of conversation amongst my Canadian friends that they’re very frustrated with the politics in their country.  As you know, people are frustrated with politics in this country.  And I think what we’re seeing is maybe people starting to pay a little more attention because when you see whether they be global politics or domestic politics, it really hits home,” said Vandenbos. 

Political talk aside, Canadian snowbirds are enjoying the few weeks left of great weather, good friends and outdoor activities here in the Coachella Valley. 

Both Canadians Devine spoke with aren’t making any hard changes to what they’re doing personally or professionally because of the tariffs and current relationship between the two countries. We will continue to follow the economic realities tariffs could have on Canadian snowbirds and their time spent in the desert. 

We will continue to track Canadian spending in the Coachella Valley and if tariffs make an impact.