Construction & Building Machinery

AED urges Ottawa to prioritize U.S. trade in CUSMA review

The equipment distributors' association used its advocacy day to push for tariff certainty, sector-specific relief and a return to negotiations with Washington.

Nadia VargaNovember 4, 20265 min read0 views

A concept illustration of an excavator and a trailer loaded with crated machine components crossing a stylized border bridge between customs gates.

Associated Equipment Distributors (AED) has used its annual advocacy day to press the Government of Canada to make free and fair trade with the United States a top priority, both in the ongoing review of the Canada-United States-Mexico Agreement (CUSMA) and in the renewed negotiations with Washington.

The association's core argument 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.

AED president and CEO Brian P. McGuire said the equipment that builds Canada is built, sourced and serviced on both sides of the border, with many components crossing the line 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 before reaching Canadian families, he said.

The association said it was disappointed in August when the two countries failed to reach a trade agreement, and has since expanded its advocacy on both sides of the border. In September, McGuire wrote to U.S. governors in states with significant exposure to Canadian trade, asking them to press for a return to the bargaining table. 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 the association's case to the Senate of Canada.

McGuire said the association's resolve remains strong, noting that dealers and manufacturers in both countries agree free and fair trade is the best route to prosperity for the sectors they serve. He framed AED's role as making sure Canadian decision-makers understand what is at stake, and as encouraging every effort to bring both governments back to the table.

He also tied trade stability to purchasing decisions, warning that when customers cannot count on stable prices and stable trade rules they postpone purchases, and that such delays cost technicians work and push back projects Canada needs, from housing to critical minerals to food production.

Five recommendations for Ottawa

AED's advocacy platform sets out five lines of action for Canadian policy-makers:

  • Seek tariff certainty and sector-specific relief. Pursue exemptions and clarified relief for the heavy equipment industry within the CUSMA talks, and use all diplomatic channels to prevent new tariffs on equipment and components.
  • Avoid retaliation that targets equipment. Tariffs and counter-tariffs on industrial goods fall first on Canadian farmers, contractors and resource producers, so any Canadian response should be narrowly targeted and should 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 alternative 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. Advance critical infrastructure and support skilled trades training so Canadian industries can invest with confidence.

McGuire linked the platform to the sectors governments are counting on: building housing, developing critical minerals, strengthening energy security and feeding Canadians all rest on reliable access to equipment and on integrated North American supply chains. He described the sector as an enabling industry that is ready to act as a partner to government.