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North Bay Equipment Supplier Grows Despite Tariff Pressures on U.S. Sales

A North Bay company that got its start in a backyard garage has expanded into a larger facility along Highway 17, growing its workforce to roughly a dozen employees even as it navigates the effects of tariffs on cross-border trade.

Borgford Equipment Services moved into its new location in the former Arnstein Industrial Equipment building in June. The company supplies agricultural tractors, mining equipment and construction equipment to customers across Canada and the United States, with owner and director Merv Borgford noting the business does not operate internationally beyond that footprint.

“We sell agricultural tractors, mining equipment, and construction equipment pretty much all across Canada and the USA. We’re not international so much,” Borgford said. “Coast to coast mainly in the mining industry. That is primarily the business we do across the country and into the U.S.”

Mining Equipment Drives the Business

Most of Borgford’s mining-related work takes place underground, accounting for about 70 per cent of that side of the business, with the remainder in surface construction work. The company is a full-line dealer for Mahindra, an agricultural equipment brand, selling tractors and side-by-side vehicles under the Rock Source line. Borgford said the company plans to begin building and designing equipment specifically for the underground mining market, though supply constraints are a challenge.

“Inventory is the big thing right now. We’re not sure when we’re going to get new inventory because there is a big shortage right now, but we’re hoping towards the end of the year,” Borgford said.

The company also rents equipment to underground mines and mining contractors, including personnel carriers, scissor lifts, scoop trams and rock trucks. It performs rebuilds for outside companies that send equipment to North Bay for refurbishment. Borgford’s customer base spans mining companies in Sudbury, Timmins, Kirkland Lake and Manitoba, along with rental work in British Columbia.

Photo by Deyler Rivera Segura on Pexels

Tariffs Cut Into U.S. Sales

Like many businesses with cross-border customers, Borgford Equipment Services has felt the impact of tariffs. Borgford said a handful of key American customers scaled back their business with the company as a result.

“I had a couple of key customers in the USA; they were doing a lot of business with us so probably cut back at least 20 to 25 per cent,” Borgford said.

To remain competitive amid that pressure, Borgford said diversification across service lines has been essential. The company offers equipment sales and rentals alongside repairs, hose repair, machining, on-site machining and cylinder repair work.

“We do a lot of everything here, not just heavy equipment,” Borgford said. “So we’re very diversified in case one industry slows down compared to the others.”

Investing in Diagnostic Technology

Borgford said staying competitive also means keeping pace with new equipment technology. The company has invested in diagnostic tools that let mechanics plug directly into machinery to run tests and troubleshoot issues on screen, a shift from older methods of manually checking for leaks and faults with basic tools.

The company has also branched into specialized vehicle builds. Borgford Equipment Services helped design and build an off-road response unit, described as a type of mini-ambulance, for the District of Nipissing Paramedic Services to reach patients in remote areas inaccessible to standard ambulances. The vehicle was retrofitted in Callander with a partner group, with Borgford handling equipment installation and ongoing service.

Borgford said the company has since quoted similar builds for paramedic services in Moosonee and for a rescue vehicle intended for an underground mine in the United States.

Borgford said the company has further expansion plans but is still working to secure the necessary investment to move forward.


This article references reporting from:

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Timothy Campbell writes about business in Canada — the deals, the disruptions, and the people making them happen. He's covered everything from scrappy Toronto startups to the entrenched giants of energy and finance, always looking for the story behind the numbers. Outside of writing, he spends time helping early founders figure out how to talk about what they're building.