The Associated Equipment Distributors (AED) has called on the Government of Canada to make free and fair trade with the United States a leading priority during the review of the Canada-United States-Mexico Agreement (CUSMA) and in renewed negotiations with Washington. The appeal came as part of the association’s annual advocacy day.
AED argued that an integrated North American economy supports the sectors Canada relies on for growth. It said tariffs on either side of the border increase costs for farmers, contractors, miners and builders.
Brian P. McGuire, AED president and CEO, said equipment used in Canada is built, sourced and serviced across both countries, and many components cross the border several times before a machine reaches a customer. Each tariff, whether imposed by Washington or Ottawa, adds cost at every crossing, he said. Those costs ultimately fall on farmers, contractors, municipalities and Canadian families, according to the association.
AED said it was disappointed in August when the two countries did not reach a trade agreement, and it has since increased advocacy on both sides of the border. In September, McGuire wrote to US governors in states with significant exposure to Canadian trade, asking them to press for a return to the bargaining table. AED’s US members have also met with more than 100 members of the US House and Senate. Canadian board member Brian Osterndorff presented the association’s case to the Senate of Canada.
McGuire said the group’s resolve remains strong and that equipment dealers and manufacturers in both countries agree free and fair trade is the best route to prosperity for the sectors they serve. AED said it aims to give Canadian decision-makers facts about what is at stake and to encourage both governments to return to negotiations.
According to McGuire, customers who cannot rely on stable prices and stable trade rules postpone purchases. Such delays reduce work for technicians and hold back projects Canada needs, including housing, critical minerals and food production, he said.
Recommendations focus on certainty and targeted relief
AED outlined several recommendations for Canadian policy makers:
- Seek tariff certainty and sector-specific relief. The group wants exemptions and clearer tariff relief for the heavy equipment industry in CUSMA discussions, and it urges Canada to use diplomatic channels to prevent new tariffs on equipment and components.
- Avoid retaliation that targets equipment. Tariffs and retaliatory tariffs on industrial goods affect Canadian farmers, contractors and resource producers first, AED said. Any Canadian response should be carefully targeted and should not penalize the equipment used to build and produce.
- Set clear, predictable rules for critical components. Engine parts, safety electronics and other specialized inputs often have no practical alternative supplier outside North America, according to the association.
- Work with industry and labour. AED recommended assessing the full impact of tariffs and developing contingency measures to protect Canadian jobs and investment.
- Build resilience at home. The group called 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 depend on reliable access to equipment and integrated North American supply chains. He described heavy equipment as an enabling industry and said AED is ready to work with government.