Air Canada is significantly increasing its presence at Billy Bishop Toronto City Airport (YTZ), introducing four new direct flights to the United States starting in March 2026. This expansion doubles the airline's capacity at the downtown airport and includes routes to major U.S. cities like New York, Boston, Chicago, and Washington D.C.
Key Takeaways
- Air Canada will launch four new U.S. routes from YTZ in 2026.
- The expansion includes flights to New York-LaGuardia (LGA), Boston (BOS), Chicago-O'Hare (ORD), and Washington-Dulles (IAD).
- A new U.S. Customs preclearance facility at YTZ makes these U.S. flights possible.
- Air Canada's capacity at YTZ will double, reaching 25 daily departures.
- The airline will offer free snacks, drinks, and Wi-Fi on these YTZ flights.
Significant Expansion at Downtown Toronto Hub
Air Canada is making a bold move at Billy Bishop Toronto City Airport, aiming to capture a larger share of the downtown business and leisure travel market. The airline's chief commercial officer, Mark Galardo, confirmed the substantial increase in services. This expansion represents a significant strategic step for the carrier.
Starting March 29, 2026, Air Canada will launch its first direct U.S. flight from YTZ to New York's LaGuardia Airport (LGA). This route will operate four times daily. Following this, in June and July 2026, the airline will add services to Boston Logan International Airport (BOS) with three daily flights, Chicago's O'Hare International Airport (ORD) with two daily flights, and Dulles International Airport (IAD) near Washington, D.C., with one daily flight.
Fast Facts
- Current Daily Departures: 12 from YTZ
- Expanded Daily Departures: 25 from YTZ
- Capacity Increase: Over 100%
- Aircraft Type: De Havilland Canada Dash 8-400 (turboprops)
The Role of U.S. Preclearance
A crucial element enabling these new U.S. routes is the upcoming U.S. Customs and Border Protection preclearance facility at Billy Bishop Airport. This facility will allow passengers to clear U.S. immigration and customs in Toronto before boarding their flights. This process streamlines arrivals into the United States, saving time and simplifying travel for passengers.
The preclearance facility is expected to open by the end of the first quarter of 2026 or early in the second quarter. Its completion is essential for the planned U.S. services, particularly the LaGuardia route, which requires such a facility.
Understanding Billy Bishop Airport (YTZ)
Billy Bishop Toronto City Airport (YTZ) is located on an island just minutes from downtown Toronto. Travelers can access the airport via an underground pedestrian tunnel or a short 90-second ferry ride. Its proximity to the city center makes it a popular choice for business travelers and those seeking convenience over the larger Toronto Pearson International Airport (YYZ).
Market Dynamics and Competitive Landscape
This expansion comes amidst some shifts in Canadian travel patterns to the U.S. Data from the U.S. International Trade Administration indicates a nearly 12% decrease in Canadians entering the U.S. by air during the first seven months of the year compared to the same period in 2024, primarily for leisure travel. However, business travel on the Canada-U.S. corridor remains strong.
"The Canada-U.S. corridor is still, for all intents and purposes, a pretty robust corridor," Mark Galardo stated, addressing the current market dynamics. He emphasized that Air Canada has a large, loyal customer base in Toronto, giving the airline confidence in these new YTZ flights.
The new routes will primarily serve local travelers rather than connecting passengers. Air Canada has been planning these U.S. flights for some time, aligning with its broader strategy to add 10 to 15 new U.S. airports to its network. This strategy supports its "sixth-freedom" business, which involves connecting travelers from one country, through Canada, to a third country.
Head-to-Head with Porter Airlines
Air Canada's move intensifies competition with Porter Airlines, the dominant carrier at YTZ. Porter currently offers an average of 41 daily departures from the airport, compared to Air Canada's expanded 25 daily departures. Most of Air Canada's new routes directly compete with existing Porter services, with the exception of the LGA route.
Porter flies to Newark Liberty International Airport (EWR) from YTZ, which has customs facilities, but not LGA. The new preclearance at YTZ now opens up LGA and other potential U.S. routes for Porter as well. Air Canada aims to attract its brand-loyal customers at the downtown airport.
- Air Canada YTZ-LGA: Four daily flights from March 29, 2026
- Air Canada YTZ-ORD: Two daily flights from June 1, 2026
- Air Canada YTZ-IAD: One daily flight from June 1, 2026
- Air Canada YTZ-BOS: Three daily flights from July 1, 2026
Enhanced Passenger Experience and Future Prospects
To compete effectively, Air Canada will match Porter's onboard offerings. This includes free snacks and drinks, including wine and beer, for all travelers on YTZ flights. Additionally, eligible passengers, such as certain elite Air Canada Aeroplan loyalty members and those with Star Alliance Gold benefits, will have access to the Aspire Air Canada Cafe lounge at YTZ.
A key differentiator for Air Canada is its offering of free inflight Wi-Fi from YTZ, a service Porter does not currently provide on its Dash 8-400 aircraft operating from the airport. This could be a significant draw for business travelers.
The collaboration with United Airlines is also central to this expansion. All four new U.S. routes will operate in partnership with United, leveraging their joint venture agreement covering flights between Canada and the U.S. This partnership influenced the choice of Washington-Dulles (IAD) over Ronald Reagan Washington National Airport (DCA), allowing connections to United's large hub at IAD.
While Air Canada is currently focused on this unveiled expansion, future growth at YTZ could include flights to airports like DCA and Philadelphia International Airport (PHL) if the initial expansion proves successful. The airline continues to evaluate opportunities for further development at the convenient downtown airport.
