Saskatchewan’s Agricultural Equipment Sector Threatened by Tariffs
With the United States significantly expanding its steel and aluminum tariffs, applying a 50% duty to over 400 additional manufactured products that contain Canadian steel and aluminum, Saskatchewan’s agricultural equipment industry -- a sector that exports over $4.2 billion worth of machinery annually -- is hurting.
Nearly 80% of the Saskatchewan agricultural equipment sector product is destined for the American market.
Saskatchewan manufactures grain handling (bins, augers, carts), seeding and tillage equipment, sprayers, and other implements for dryland farming.
The province’s Trade and Export Minister, Warren Kaeding, is warning that the tariffs are already inflicting damage on local manufacturers who cannot absorb the inflated costs.
“These tariffs are already hurting Saskatchewan manufacturers who simply cannot compete with costs inflated by a 50 per cent duty,” Kaeding wrote in a letter to federal ministers Dominic LeBlanc and François-Philippe Champagne.
Kaeding’s letter calls for urgent federal action on two fronts: 1. To intensify negotiations with Washington aimed at securing tariff relief, and 2. To provide immediate support to Canadian businesses and workers affected by the new duties.
Kaeding emphasized that the tariffs not only jeopardize Saskatchewan’s economy but also threaten global food security and sustainability, given the province’s role in supplying essential farm equipment across North America and beyond.
The Saskatchewan government has expressed its willingness to collaborate with Ottawa to push for change, but Kaeding’s message is clear: the federal government must act swiftly to stabilize the market and reassure manufacturers that Canada will defend its industries.