Doug Ford Stands Firm on Trade War Threats as U.S. Tariffs Loom

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Ontario Premier Doug Ford has reaffirmed his position on retaliatory trade measures against the U.S. ahead of the impending tariffs on Canadian goods. Speaking at his first news conference since securing a third majority, Ford made it clear that Ontario is prepared to push back.

Doug Ford
Photo via Evan Mitsui/CBC

U.S. Tariffs Set to Take Effect

Starting Tuesday, March 4, 2025, U.S. President Donald Trump will implement 25% tariffs on Canadian exports and 10% tariffs on energy. These measures are expected to have a significant impact on Ontario’s industries, including auto manufacturing, steel production, and energy exports. The tariffs could lead to increased retail prices and inflation.

Ontario’s Response: Energy and Trade Measures

Ford stated that Ontario will not hesitate to cut off electricity exports to New York, Michigan, and Minnesota if necessary. Ontario is a major energy supplier to these states, and a disruption could have serious consequences for U.S. consumers.

Beyond energy exports, Ford also announced the following measures:

  • A surcharge on electricity exports to U.S. states that rely on Ontario power.
  • Termination of a $100-million deal with Elon Musk’s Starlink for internet services.
  • Removal of American alcoholic beverages from the LCBO if tariffs move forward.
  • Encouragement for retailers to prioritize Canadian goods, with potential legislation to mandate “Made in Canada” labels.
  • Stockpiling of critical minerals like nickel to limit exports to U.S. manufacturers.

Federal and Provincial Trade Strategy

While Ford did not confirm whether Ontario would impose province-specific retaliatory tariffs, he reiterated support for federal dollar-for-dollar countermeasures. He also noted that the province is prepared to protect key industries and workers with a $5-billion Protect Ontario Account, $10 billion in employer tax deferrals, and additional payroll and premium relief measures.

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Political Context and Election Results

Ford’s trade stance was a central issue during Ontario’s recent snap election, which concluded with the Progressive Conservatives securing a third straight majority. While Ford described the victory as a historic achievement, the party’s seat count only increased by one compared to pre-election levels.

What Happens Next?

With the U.S. tariffs scheduled to take effect, Ontario’s next moves will depend on federal and international negotiations. Ford’s threat to cut off electricity and limit exports could escalate tensions between Ontario and Washington. However, the economic impact on both sides of the border may push leaders toward further talks and trade adjustments.

For ongoing updates on Canada-U.S. trade relations, visit the official government websites.

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