Summary
Ontario will impose a 25% surcharge on electricity exports to New York, Michigan, and Minnesota starting Monday in retaliation for Trump’s tariffs on Canadian goods.
Premier Doug Ford warned U.S. governors and vowed to maintain the surcharge until all tariffs are lifted.
Canada has already imposed $30 billion in retaliatory tariffs, with more planned.
Ford also threatened to cut power to the states by April and banned U.S. firms from bidding on Ontario contracts. A $100M SpaceX deal for rural internet was also scrapped in response.
Yes. Unfortunately, it’s a very blunt instrument. The rest of our tariffs have been ultra-targeted, but Doug Ford really wants to do something and this is the main tool he has provincially.
There’s enough rural, conservative areas within those states that would be affected I imagine Trump will have some blowback. How much is hard to say at this point, especially given that he’s still adding and removing his own tariffs all the time.