The Associated Equipment Distributors (AED) used its annual advocacy day to ask the Canadian government to treat free and fair trade with the United States as a leading priority in the current review of the Canada-United States-Mexico Agreement (CUSMA) and in renewed negotiations with Washington.
The association argued that an integrated North American economy benefits Canada and that tariffs on either side of the border increase costs for farmers, contractors, miners and builders. AED president and CEO Brian P. McGuire said equipment used in Canada is built, sourced and serviced across the border, with many components crossing several times before a machine reaches a customer. Each tariff, whether imposed by Washington or Ottawa, adds cost at each crossing, he said, and those costs ultimately reach farmers, contractors, municipalities and Canadian families.
Advocacy push on both sides of the border
AED said it was disappointed in August that the two countries could not reach a trade agreement and has since increased advocacy in both countries. In September, McGuire wrote to U.S. governors in states with significant Canadian trade exposure, asking them to press for a return to the bargaining table. AED’s U.S. members also met with more than 100 members of the U.S. House and Senate, and AED Canadian board member Brian Osterndorff recently presented the association’s case to the Senate of Canada.
McGuire said AED’s resolve remains strong and that equipment dealers and manufacturers in both countries agree free and fair trade is the best path to prosperity for the sectors they serve. He said AED wants Canadian decision-makers to have the facts about what is at stake and to encourage efforts to bring both governments back to the table.
Purchasing delays and project risk
McGuire also linked trade stability to customer behavior. When customers cannot count on stable prices and stable trade rules, they delay purchases, he said. Those delays reduce work for technicians and hold back projects Canada needs, including housing, critical minerals and food production, according to McGuire.
Recommendations for Canadian policy
AED’s recommendations call for tariff certainty and sector-specific relief. The group wants exemptions and clarified tariff relief for the heavy equipment industry as part of CUSMA discussions, and it urges the use of all diplomatic channels to prevent new tariffs on equipment and components.
- Avoid equipment-focused retaliation: AED says tariffs and retaliatory tariffs on industrial goods hit Canadian farmers, contractors and resource producers first. Any Canadian response should be carefully targeted and should not penalize the equipment Canadians use to build and produce.
- Set predictable rules for critical components: Engine parts, safety electronics and other specialized inputs often have no practical alternative supplier outside North America, according to AED.
- Work with industry and labour: AED recommends assessing the full impact of tariffs and developing contingency measures that safeguard Canadian jobs and investment.
- Build resilience at home: The association calls for advancing critical infrastructure and supporting skilled trades training so Canadian industries can invest with confidence.
McGuire said the sectors governments rely on to build housing, develop critical minerals, strengthen energy security and feed Canadians all depend on reliable access to equipment and integrated North American supply chains. He described the equipment industry as an enabling industry and said it is ready to be a partner to government.