Alberta Prohibits U.S. Slot Machines Amid Trade Dispute

Las Vegas millions in potential revenue.

Alberta’s Directive Targets U.S. Gaming Equipment

The Alberta Gaming, Liquor and Cannabis Commission (AGLC) issued the directive on March 6, stating that the province will only source gaming equipment from companies that either have services within Alberta or are based in countries that hold a free trade agreement with Canada. This restriction immediately sent ripples through the gaming industry, affecting companies that rely on Alberta’s market for equipment sales.

The AGLC’s directive confirmed that all gaming terminal purchases from U.S.-based companies would be suspended.

“AGLC will prioritize procurement on companies that have services in Alberta, Canada, or with countries that we share a free trade agreement with,” the directive specified.

The policy shift comes in response to the U.S. government’s recent announcement of a 25 percent tariff on Canadian imports. While implementation of the tariff has been postponed until April, Alberta’s proactive measure suggests potential long-term repercussions for the gaming industry.

Alberta is one of Canada’s largest gaming jurisdictions, and its decision raises concerns that other provinces, including British Columbia and Ontario, might follow suit. Unlike in the United States, where casinos are privately owned or corporate-operated, Canadian gaming is government-controlled, with provincial entities overseeing all gaming activities, including slot machines and lotteries.

“Clearly this directive is in response to the U.S. istration’s tariff policy, and we believe other Canadian provinces are likely to follow Alberta, negatively impacting slot vendor sales in the near term,” wrote Phil Bernard, an analyst at Eilers & Krejcik Gaming, in a research note.

Gaming Industry Responds to Alberta’s Restrictions

The gaming equipment industry is now assessing how to navigate the new restrictions. Daron Dorsey, executive director of the Las Vegas-based Association of Gaming Equipment Manufacturers (AGEM), noted that the policy could have broader consequences beyond gaming.

“These policy decisions and responses affect many industries beyond gaming for both the near and longer term,” Dorsey stated. “Our gaming suppliers will manage and adjust to this new normal as best they can.”

Eilers & Krejcik Gaming estimates that Alberta contributes around 4 percent of total sales for major manufacturers such as International Game Technology (IGT), Light & Wonder, Aristocrat Gaming, and Konami Gaming. Bernard suggested that Alberta and other provinces could delay purchasing new machines due to lower market competition compared to the U.S.

“We believe this policy is likely to remain in place until the U.S. and Canada are able to reach a new trade agreement,” Bernard added.

Canadian Market Impact and Manufacturer Uncertainty

Alberta’s casino industry, concentrated in cities like Edmonton and Calgary, along with its provincial lottery, plays a crucial role in the national gaming market. Last year, Canadian sales of slot machines and VLTs totaled approximately 15,000 units, ing for 16 percent of the combined U.S. and Canadian market. Alberta alone purchases around 4,000 slot machines and lottery terminals annually, according to Bernard’s research.

The AGLC’s 2024 annual report revealed that Alberta’s 14,400 slot machines generated CAD 1.3 billion in revenue, while its 6,000 lottery terminals brought in CAD 557 million. Eilers & Krejcik Gaming further reported that IGT, Light & Wonder, and Aristocrat control approximately 83 percent of Canada’s gaming machine market.

Questions remain about whether the directive applies to companies headquartered outside the U.S., such as IGT, which is based in Rome, or Aristocrat, which is headquartered in Australia.

IGT spokesman Phil O’Shaughnessy emphasized the company’s presence in Canada, stating, “IGT has a large presence in Canada, with more than 400 employees in local Canadian offices. We produce Canadian VLT content in Canada, and our VLT cabinets can be manufactured in locations outside of the U.S.”

Other manufacturers declined to comment on the matter.

Meanwhile, Alberta’s government has also taken similar trade measures beyond gaming. Lynden McBeth, a spokesperson for the AGLC, confirmed in an email that the province had halted the import and sale of U.S. liquor. When asked about the gaming restrictions, McBeth deferred to Alberta’s Service Alberta and Red Tape Reduction department, which did not provide a response.

Source:

‘’Canadian province bans U.S.-made gaming equipment as trade war simmers’’, thenevadaindependent.com,Mar 10, 2025