As part of its annual advocacy day, the Associated Equipment Distributors (AED) has called on the Government of Canada to make free and fair trade with the United States a top priority, both in the continuing review of the Canada-United States-Mexico Agreement (CUSMA) and in renewed negotiations with Washington.
The association's position is that an integrated North American economy works, and that tariffs applied on either side of the border raise costs for the farmers, contractors, miners and builders that Canada is counting on to grow the economy.
Brian P. McGuire, AED president and CEO, said the equipment that builds Canada is built, sourced and serviced on both sides of the border, and that many components cross the border several times before a machine ever reaches a customer. Each tariff, whether imposed by Washington or by Ottawa, adds cost at every crossing, and those costs are absorbed by farmers, contractors and municipalities and, ultimately, by Canadian families, he said.
Advocacy push on both sides of the border
AED said it expressed disappointment in August when the two countries could not reach a trade agreement, and has since stepped up its advocacy in both countries. In September, McGuire wrote to U.S. governors in states with significant exposure to Canadian trade, urging them to press for a return to the bargaining table. AED's U.S. members have 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.
"Our resolve remains strong," McGuire said, adding 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's aim is to ensure Canadian decision-makers have the facts about what is at stake, and to encourage every effort to get both governments back to the table.
McGuire also tied trade stability to purchasing behaviour, saying that when customers cannot count on stable prices and stable trade rules they delay purchases, and that delayed purchases mean less work for technicians and slower progress on the projects Canada needs, from housing to critical minerals to food production.
What AED is recommending
- Seek tariff certainty and sector-specific relief. Push for exemptions and clearer tariff relief for the heavy equipment industry within the CUSMA discussions, and use every diplomatic channel to head off new duties on machines and components.
- Avoid retaliation aimed at equipment. Duties and counter-duties on industrial goods land first on Canadian farmers, contractors and resource producers, so any Canadian response should be narrowly targeted and must not penalize the equipment Canadians use to build and produce.
- Set clear, predictable rules for critical components. Engine parts, safety electronics and other specialized inputs frequently have no practical supplier outside North America.
- Work with industry and labour. Assess the full impact of tariffs and prepare contingency measures that protect Canadian jobs and investment.
- Build resilience at home. Move ahead on critical infrastructure and support skilled trades training so Canadian industries can invest with confidence.
McGuire said the sectors governments are relying 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. "This is an enabling industry, and we are ready to be a partner to government," he said.