In retaliation to President Donald Trump’s ongoing tariff attack, Ontario Premier Doug Ford Monday announced 25 per cent more electricity tariff to 1.5 million Americans as Ontario provides electricity to Minnesota, New York and Michigan. “I will not hesitate to increase this charge. If the United States escalates, I will not hesitate to shut the electricity off completely,” Ontario Premier Doug Ford said at a news conference in Toronto.
“Believe me when I say I do not want to do this. I feel terrible for the American people who didn’t start this trade war. It’s one person who is responsible, it’s President Trump.”
The electricity tariff will remain in place notwithstanding Donald Trump’s one-month reprieve for tariffs on Canada, Doug said adding that the one-month pause means nothing but more uncertainty.
Ontario has been leading the tariff war by already banning US alcohol, cancelling a government contract with Elon Musk’s Starlink.
Amid the ongoing tariff war, stock markets dropped again Monday as the Dow Jones average was down more than 550 points, or 1.3 per cent, just after noon on Monday.
The US is Canada’s only trading partner for electricity, and the Canadian and US electrical grids are highly integrated. In 2023, net electricity exports from Canada to the U.S. were 27.6 terawatt hours and came mostly from the provinces of Manitoba, Ontario, British Columbia and Quebec, The Hill reported, citing the Canadian Energy Regulator data.
Ford’s office said the new market rules require any generator selling electricity to the U.S. to add a 25% surcharge. Ontario’s government expects it to generate revenue of $300,000 Canadian dollars ($208,000) to CA$400,000 ($277,000) per day, “which will be used to support Ontario workers, families and businesses.”
Trump launched a new phase of his tariff attack against Mexico, Canada and China. Later, he announced a one-month pause as the situation quickly spiralled for the worse.
Ford said Trump changes his mind every day, but if he continues to attack Canada he will do everything it takes to maximize the pain. “Republicans, at least the ones I speak to, do not agree with President Trump but they are too scared to go out there and say it publicly,” Ford said. “It’s a shame but we need to end this.”
