Tariff threats put Canada-U.S. supply chain in ‘panic mode,’ says CTA

The Canadian Trucking Alliance (CTA) says the threat of tariffs is throwing the Canada-U.S. supply chain into turmoil, with trucking fleets and their customers facing widespread uncertainty.

Based on feedback from its more than 5,000 member companies, the CTA reports that carriers are either rushing to move goods south before tariffs take effect, experiencing a drop in demand or seeing shipments cancelled. The disruption is also leading to storage issues for businesses unaccustomed to warehousing excess product.

“The trucking supply chain, which is the backbone of Canada-U.S. trade, is in chaos right now and faces a very uncertain future,” said CTA president and CEO Stephen Laskowski.

Many Canadian carriers are delaying capital investments in trucks and trailers, while some have already begun layoffs, with more expected. The CTA warns that supply chain gaps could lead to increased reliance on operators in the underground economy, posing potential safety and security risks.

Laskowski said the alliance supports government efforts to resolve the situation and restore stability to cross-border trade.