.jpg)
9 hours ago
3
![hvz]xk3v395t2jy9cmwrt06v_media_dl_1.png](https://smartcdn.gprod.postmedia.digital/financialpost/wp-content/uploads/2025/10/canada-trails-us-in-business-investment-canadas-investment--1.jpg?quality=90&strip=all&w=288&h=216&sig=pv0pBrCt7wwkStTYKl-cwg)
Article content
(Bloomberg) — Manufacturing executives say the Canadian government should take inspiration from Donald Trump’s tax cuts to help businesses remain competitive as they face cost pressures and uncertainty from US tariffs.
THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLY
Subscribe now to read the latest news in your city and across Canada.
- Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.
- Daily content from Financial Times, the world's leading global business publication.
- Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.
- National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.
- Daily puzzles, including the New York Times Crossword.
SUBSCRIBE TO UNLOCK MORE ARTICLES
Subscribe now to read the latest news in your city and across Canada.
- Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.
- Daily content from Financial Times, the world's leading global business publication.
- Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.
- National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.
- Daily puzzles, including the New York Times Crossword.
REGISTER / SIGN IN TO UNLOCK MORE ARTICLES
Create an account or sign in to continue with your reading experience.
- Access articles from across Canada with one account.
- Share your thoughts and join the conversation in the comments.
- Enjoy additional articles per month.
- Get email updates from your favourite authors.
THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK.
Create an account or sign in to continue with your reading experience.
- Access articles from across Canada with one account
- Share your thoughts and join the conversation in the comments
- Enjoy additional articles per month
- Get email updates from your favourite authors
Sign In or Create an Account
or
Article content
In a roundtable interview with journalists in Ottawa on Tuesday, executives from the Canadian manufacturing sector showcased their wish list ahead of Prime Minister Mark Carney’s first budget on Nov. 4.
Article content
Article content
Article content
Kip Eideberg, senior vice-president of government and industry relations at the Association of Equipment Manufacturers, said the sector is encouraging the government to pursue corporate tax incentives similar to the ones in Trump’s One Big Beautiful Bill, which passed earlier this year.
Article content
By signing up you consent to receive the above newsletter from Postmedia Network Inc.
Article content
“The only reason why the industry in the US is not in worse shape is because of the big tax package that was passed,” said Eideberg.
Article content
“Whether it’s R&D, whether it’s bonus depreciation, all of those provisions that were extended or made permanent, have been a massive boon to the industry in the US. So we’ve been encouraging the Canadian government to look at that and do the same.”
Article content
Trump’s bill included several tax cuts for businesses, including by making permanent key provisions of a 2017 law passed during his first administration, such as a 21% corporate tax rate.
Article content
Last December, the Canadian government under then-prime minister Justin Trudeau proposed to extend the accelerated investment incentive, which allows businesses to save taxes by booking depreciation faster on certain assets, including capital property, machinery and equipment.
Article content
Article content
It also pledged immediate expensing for manufacturing or process machinery and equipment, clean energy generation and energy conservation equipment and zero-emission vehicles.
Article content
It’s unclear whether Carney’s government plans to move forward with those measures.
Article content
In a recent interview with Bloomberg News, Finance Minister Francois-Philippe Champagne was reluctant to offer any details on changes to corporate taxes ahead of the budget, although he said he’s focused on ways “to make sure that Canada remains competitive.”
Article content
The manufacturing executives appeared optimistic that the federal government will in fact prioritize growth in the upcoming budget.
Article content
“I think it’s going to be a pro-business, pro-growth budget,” said Jim Jarrell, chief executive officer and president of Linamar Corp. “I think it has to be.”
Article content
Jarrell suggested the Canadian government should consider increasing its C$5 billion ($3.6 billion) allocation for its strategic response fund, which was launched in September to help industries affected by US tariffs transform their operations.
Article content
—With assistance from Erik Hertzberg.
Article content
English (US)