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 in the ongoing 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 said an integrated North American economy works, and that tariffs on either side of the border raise costs for farmers, contractors, miners and builders that Canada relies on to grow the economy.
Brian P. McGuire, president and CEO of AED, said equipment used to build Canada is built, sourced and serviced on both sides of the border, with many components crossing the border several times before a machine reaches a customer. He said every tariff imposed by Washington or Ottawa adds cost at each crossing, and those costs are ultimately paid by farmers, contractors, municipalities and Canadian families.
AED expressed disappointment in August that the two countries could not reach a trade agreement and has since stepped up advocacy on both sides of the border. In September, McGuire wrote to U.S. governors in states with significant exposure to Canadian trade, urging them to press for a return to bargaining. AED's U.S. members have met with more than 100 members of the U.S. House and Senate, and Canadian board member Brian Osterndorff recently presented AED'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 get both governments back to the table.
He also warned that when customers cannot count on stable prices and stable trade rules, they delay purchases. Those delays reduce work for technicians and hold back projects Canada needs, from housing to critical minerals to food production, he said.
Recommendations focus on tariff certainty
AED's recommendations include seeking 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 calls for all diplomatic channels to be used to prevent new tariffs on equipment and components.
AED also urged Canada to avoid retaliation that targets equipment. It said tariffs and retaliatory tariffs on industrial goods hit Canadian farmers, contractors and resource producers first, and any Canadian response should be carefully targeted so it does not penalize the equipment Canadians use to build and produce.
The association called for clear, predictable rules for critical components. It noted that engine parts, safety electronics and other specialized inputs often have no practical alternative supplier outside North America.
In addition, AED recommended working with industry and labour to assess the full impact of tariffs and develop contingency measures that safeguard Canadian jobs and investment. It also urged Canada to build resilience at home by 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.