The Canadian Association of Energy Contractors (CAOEC) opposes any proposal to impose retaliatory export tariffs, taxes, or bans on Canadian oil and gas.
For half a century, free trade has yielded mutual benefits for both Canada and the United States. This collaboration has led to the creation of a highly integrated and efficient North American marketplace, which, in turn, promotes wealth and prosperity. Trade continues to support our shared economic goals as well as the national security interests of both countries.
It is unfortunate that the significant benefits of this trading relationship are now being threatened, with both countries likely to experience adverse effects. CAOEC is aligned with the position of Alberta Premier Danielle Smith and opposes intervention by any government, including tariffs and countervailing actions, as government interference in the market often results in unfavourable outcomes. Our experience indicates that tariffs and trade restrictions would have detrimental impacts on the Canadian oil and gas industry, particularly affecting frontline workers and energy service businesses in rural, remote, and Indigenous communities.
Regrettably, Canada faces limited markets for its oil and gas products and lacks too few options to adequately respond to possible actions by the United States. However, significant diversification opportunities have emerged with the completion of TMX and the upcoming commissioning of LNG Canada. It is imperative that we prioritize and expand these efforts through the development of additional pipeline egress and LNG export capacity. Such initiatives will bolster our socioeconomic future and protect the interests of Canadian workers and businesses.
About CAOEC
The Canadian Association of Energy Contractors (CAOEC) represents 91 land drilling, offshore drilling, and service rig member companies on the frontlines of energy security and transformation. They operate a fleet of 372 drilling rigs and 685 service rigs in British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, and Atlantic Canada. CAOEC’s members are varied and diverse, and include many small- and medium-sized enterprises that have been leaders in creating opportunities for young people, Indigenous communities, and middle-class workers.
For more information, contact:
An Tran – Communications Specialist
Canadian Association of Energy Contractors
Phone: (403) 264-4311 ext. 118
Email: atran@caoec.ca