Ontario Premier Doug Ford holds news conference after Trump launches trade war
Ontario Takes Bold Steps in Response to U.S. Tariffs
In a bold move to counter President Donald Trump’s tariffs on Canadian goods, Ontario’s primary liquor retailer and wholesaler has announced that it will stop buying U.S. alcohol. Additionally, American companies will be banned from procurement contracts in the province. Premier Doug Ford revealed these measures on Tuesday as part of Ontario’s response to the escalating trade war with the U.S.
Ford also issued a warning to the governors of New York, Michigan, and Minnesota, stating that if the tariffs continue, Ontario will impose a 25 per cent surcharge on electricity flowing into these states and could potentially cut off the flow entirely. Ontario currently supplies approximately 1.5 million customers in these states with electricity.
Furthermore, the Ontario government will cancel a $100 million contract with Starlink, a satellite internet company owned by Elon Musk, who is a close aide to President Trump. Ford also mentioned that Ontario is considering stockpiling and halting exports of high-grade nickel, a mineral that is crucial in the manufacturing of various goods.
Following Trump’s implementation of 25 per cent tariffs on most Canadian goods, Prime Minister Justin Trudeau announced that Canada’s retaliatory response would involve matching tariffs on $155 billion worth of U.S. goods. This retaliation will be implemented in two phases, with $30 billion worth of goods facing immediate tariffs and the remaining $125 billion facing tariffs within 21 days to allow Canadian companies to adjust their supply chains.
The impact of these tariffs could be detrimental to vital industries in Ontario, such as auto manufacturing and steel production, and may lead to increased retail prices and inflation. Auto giants in the province have already warned that production plants could be forced to shut down within a matter of days.
In response to the trade war, Ford has reiterated his support for the federal government to impose retaliatory tariffs on U.S. goods. His government’s recent election platform includes nearly $20 billion in proposed spending aimed at supporting industries and workers that could be affected by the tariffs. Measures include the creation of a $5 billion Protect Ontario Account, $10 billion in support for employers through tax deferrals, up to $3 billion in payroll and premium relief, and up to $40 million for municipalities.
As the trade dispute between Canada and the U.S. intensifies, Ontario is taking decisive action to protect its interests and support its industries. The province’s response demonstrates a commitment to standing up to unfair trade practices and safeguarding its economy in the face of turbulent international relations.
