Update from the U.S.

Washington D.C. Recap: Trade Talks, Tariffs, and What’s Ahead

In June, Supply-Build Canada President Liz Kovach was in Washington D.C. with senior political staff, diplomats, think tanks, trade policy experts, and U.S. business advocacy groups like the U.S. Chamber of Commerce and the U.S. Council for International Business (USCIB) to represent the industry in conversations on trade, tariffs, and the upcoming Canada-United States-Mexico Agreement (CUSMA) review. 

Here's what we learned:

• Economic anxiety. Growth is slowing, and 41 million U.S. jobs depend on trade; eight million more rely on foreign investment. Tariffs create concentrated benefits and widespread losses. For example, The U.S. steel manufacturers may prosper, but every industry that depends on steel suffers. Tariffs are hurting downstream industries. 
• Focus is shifting toward China. The U.S. is in a trade war with China, and while many businesses expected this, after fighting on too many fronts, the U.S. needs allies in this fight—and Canada’s role matters. 
• Administration understaffing. Key administrative roles in the government have vacancies, affecting the government’s capacity to manage complex discussions on economics, trade, national security, and foreign policy. As a result, U.S. trade discussions are often guided by broad principles rather than clear precision. 
• Canada needs feet on the street. We have a strong diplomatic presence, but countries like Mexico and other governments have a larger footprint in Washington D.C think tanks and sectors like auto has a consistent loud voice. Our industry needs to match this level of influence to ensure we are heard where it matters most. 
• The White House thinks in narratives. We need to frame our value to U.S. safety, security, and prosperity in ways that resonate emotionally and strategically.  
• Canada is Truly Special: The U.S. trade deficit with Canada is different from those it has with other countries, because Canada's major inputs are profitable for the U.S. For every $1 of oil we sell to the U.S., they earn $3. 
• CUSMA matters. It’s seen as the gold standard of trade agreements, but ensuring it remains strong requires ongoing advocacy, especially with a Congress that has shifted significantly since its last bipartisan support. Showing how it's working for America will be essential; part of this will be re-educating Congress. 

We CAN’T Afford Complacency 

One thing is clear; we must have a consistent voice in Washington. While the auto sector dominates the conversation, we’re not top of mind, and that’s a problem. 

A clear, unified stance is essential to protect your business and the broader industry. 

The formal CUSMA review begins this fall, with the public review process pending. In the meantime, we’ve conducted an economic impact study in the U.S. on these issues and will share the data with you soon. 

We know the stakes are high, and your business depends on stable, fair trade. We’re on it—and we’ll keep you in the loop as the next steps unfold. 

What You Can Do 

If you have questions, insights, or stories about how tariffs and trade impact your business, please reach out to us. Your experiences strengthen our advocacy efforts, and help us shape a stronger, unified voice for our industry.

Click HERE to send an Email

Liz Kovach
President
Supply-Build Canada