Canadian Urban Transit Research & Innovation Consortium
Canadian Urban Transit Research & Innovation Consortium

CUTRIC Launches Foreign Affairs, Commerce & Trade Task Force to Combat U.S. Tariffs Threatening Canadian Transit Sector

The FACT Task Force will tackle the increasing complexities of international trade that directly affects Canada’s public transit innovation and manufacturing sector.

Toronto, ON, March 11, 2025 — The Canadian Urban Transit Research & Innovation Consortium (CUTRIC), a nonprofit organization spearheading decarbonization transit and transportation projects, has launched the Foreign Affairs, Commerce & Trade (FACT) Task Force. This first-of-its-kind initiative is a direct response to address the impact of the 25 per cent tariffs imposed by the United States on Canadian imports, threatening the economic stability of Canada’s transit manufacturing sector.

The Canadian transit manufacturing FACT Task Force is advocating for the following immediate federal measures:

  1. Secure tariff exemptions for Canadian transit manufacturers that threaten transit manufacturing and supply chains
  2. Recognize transit manufacturing as a critical industry stakeholder and secure a seat for Canada’s transit sector in the U.S.-Canada Trade Relations Council to have a direct voice in negotiations
  3. Protect Canadian transit manufacturing sector jobs estimated at approximately 10,000 direct jobs and 50,000 to 80,000 indirect jobs
This is a historic turning point for the transit manufacturing industry as it has never coalesced in a tariff-focused movement. The FACT Task Force will bring together all bus, coach, school bus and rail manufacturers to address American tariffs, in line with similar actions undertaken by the automotive, forestry, aerospace and dairy industries. Proposed and actual tariffs against Canadian manufacturers that have taken effect, including Canadian retaliatory tariffs, threaten to disrupt supply chain stability, job security and undermine the industry’s long-term competitiveness in Canada. CUTRIC industry members are working to mitigate and reverse the impacts of tariffs as well as import and export restrictions on the critical materials required for the zero emissions bus manufacturing industry in Canada. Dr. Josipa Petrunic, President and CEO of CUTRIC, emphasized the mission-critical state of the industry following the imposition of tariffs on Canada’s supply chains. She said,
“Tariffs will have an immediate impact on Canada’s heavy-duty manufacturing sector, particularly on transit vehicles like buses. These added costs will likely increase bus prices depending on how they’re taxed, threatening to weaken our transit systems at a time when we need them most. “Equally concerning is the impact on zero emission initiatives. Supply chain disruptions will cause Made-in-Canada hydrogen fuel stack prices to skyrocket, making it far more costly for cities to adopt hydrogen-powered buses and trains. “The FACT Task Force is our proactive and collaborative response to these supply chain disruptions and economic shocks to help protect jobs, stabilize costs for both businesses and consumers, and ensure the resilience of the industry’s cross-border supply chains.”

Key Facts About CUTRIC’s FACT Task Force:

  • Address the economic impacts posed by tariffs on Canadian imports under President Donald Trump’s Administration
  • Secure tariff exemptions, stabilize supply chains, and protect Canada’s competitive edge in the global market
  • Develop actionable strategies to guide federal trade negotiations and advocacy efforts
  • Engage key industry stakeholders to actively participate in shaping solutions to counter anti-trade policies
  • Protect Canada’s transit manufacturers from the economic consequences of trade disruptions
  • Encourage stakeholders to join the initiative and contribute to strengthening Canada’s transit manufacturing sector
CUTRIC invites its members including transit manufacturers, municipal agencies, policymakers, and key stakeholders to join the FACT Task Force, contributing to strategic discussions critical to Canada’s economic and environmental goals. The first launch meeting of the FACT Task Force took place on March 21, 2025 via Zoom.

Update

The FACT Task Force is now in its implementation phase. For current meeting dates, leadership and details on how to take part, visit the FACT Task Force page.

For CUTRIC membership inquiries, reach out to [email protected].

About CUTRIC

CUTRIC is a non-profit innovation consortium with a vision to make Canada a global leader in low-carbon smart mobility. Through industry-led collaborative research and large-scale technology integration trials, CUTRIC is working to achieve this goal by focusing on technology development, integration, and standardization of low-carbon propulsion systems and smart vehicle systems, data-driven analytics in mobility, and cybersecurity in transportation. CUTRIC is designated as the National Planning Service for the Government of Canada’s Zero Emission Transit Fund (ZETF).

Media Contact

Mainak Mondal Crestview Strategy [email protected]

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