While the United States is imposing tariffs on complete Canadian-built excavators, loaders, dozers, graders and rollers, Canada’s latest counter-tariffs mostly spare American-built earthmoving machines.
Instead, Canada is targeting parts and attachments.
Effective Sept. 8, Canada will impose tariffs of 15, 25 and 50 per cent on $27.6 billion worth of imports from the United States. Counter-tariffs will hit several products used by the construction industry, including tower cranes, earthmoving equipment attachments, replacement parts, forklifts, power tools and commercial trailers.
“AED is disappointed that the United States and Canada could not come to a trade agreement during recent negotiations. However, our resolve remains strong,” said Brian P. McGuire, President and CEO of Associated Equipment Distributors.
“Tariffs and retaliatory tariffs damage the economies on both sides of the border. Any measures that target equipment that builds, feeds and fuels both countries are detrimental regardless of if they’re imposed by Canada or the United States. AED will continue to work with officials and political leaders on both sides of the border to encourage a return to the bargaining table.”
Earthmoving equipment parts
For the heavy equipment industry, buckets, shovels, grabs and grips used by cranes, earthmoving and excavating machinery will face a 15 per cent tariff. Dozer blades will also face a 15 per cent tariff.
As well, parts for certain boring and sinking machinery will be subject to a higher 25 per cent tariff.
Replacement components for a wide array of equipment such as dozers, graders, excavators, loaders and other self-propelled earthmoving machinery face a 15 per cent tariff.
Canada is also imposing a 50 per cent tariff on steel-products that specifically includes tracks used in the manufacture of skid steer loaders. The same classification includes certain components used in air compressor tanks and several other specialized steel products.
Cranes and material handling
Tower cranes imported from the United States will face a 25 per cent tariff.
Canada has also applied a 25 per cent tariff to certain other cranes and lifting machinery. However, not every type of mobile or construction crane is included.
Material handling equipment is also included in the new countermeasures, such as electric rider-type counterbalanced forklifts and other self-propelled rider-type counterbalanced forklifts, which will face a 15 per cent tariff, as will another category of work trucks fitted with lifting or handling equipment. Certain parts will also receive a 15 per cent tariff.
Power tools targeted
Contractors purchasing certain American made power tools could also see higher costs.
Hand-held saws with self-contained electric motors will receive a 25 per cent tariff, as will other hand-held tools with self-contained electric motors. Chain saws and other powered hand tools included under the same broader heading will also face 25 per cent tariffs. Other vices and clamps will face a 25 per cent tariff.
“Canadians expect their government to stand up for them and their interests. As the United States impose unjustified tariffs, Canada’s government is focused on building our strength at home and protecting our economy,” said Dominic LeBlanc, Canada’s Minister responsible for United States trade.
“Today’s countermeasures will ensure workers, farmers, families and businesses affected are supported throughout this period of uncertainty. Together, we will weather this storm — united and resilient.”
Canada’s construction related counter tariffs
- Tracks for use in the manufacture of skid steer loaders — 50%
- Pipe cutters, bolt croppers, perforating punches and similar tools — 25%
- Other specified hand tools — 50%
- Other vices and clamps — 25%
- Parts of pumps — 25%
- Certain other air or vacuum pumps and compressors — 25%
- Hydraulic jacks and vehicle hoists — 25%
- Tower cranes — 25%
- Certain other crane and lifting machinery — 25%
- Electric rider-type counterbalanced forklifts — 15%
- Other self-propelled rider-type counterbalanced forklifts — 15%
- Other works trucks fitted with lifting or handling equipment — 15%
- Other lifting, handling, loading or unloading machinery — 15%
- Parts for forklifts and other works trucks — 15%
- Parts for lifts, skip hoists and escalators — 25%
- Buckets, shovels, grabs and grips for cranes and earthmoving equipment — 15%
- Bulldozer and angledozer blades — 15%
- Parts for certain boring and sinking machinery — 25%
- Other parts for cranes, earthmoving and excavating machinery — 15%
- Hand-held electric saws — 25%
- Other hand-held tools with self-contained electric motors — 25%
- Chain saws — 25%
- Other powered hand tools — 25%
- Specified railway maintenance and construction equipment — 25%
- Farm, logging or freight wagons and trailers for logging trucks — 25%
- Commercial trailers and semi-trailers for road tractors and goods vehicles — 25%
