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Reading: Ontario Premier Tells US Governors to Expect 25 Percent Surcharge From His Province After Trump Tariffs
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CanadaCanadian PoliticsFeatured Canadian NewsTop Canadian NewsWorld News

Ontario Premier Tells US Governors to Expect 25 Percent Surcharge From His Province After Trump Tariffs

Chandra Philip
Last updated: March 6, 2025 2:46 am
Chandra Philip
7 months ago
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ontario-premier-tells-us-governors-to-expect-25-percent-surcharge-from-his-province-after-trump-tariffs
Ontario Premier Tells US Governors to Expect 25 Percent Surcharge From His Province After Trump Tariffs
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Ontario Premier Doug Ford says he will put 25 percent tariffs on electricity to three U.S. states if the trade war between the two countries continues.

Ford made the comments the same day the United States imposed 25 percent tariffs on Canadian imports and 10 percent on energy on March 4. On March 5, President Donald Trump announced a one-month tariff exemption for American auto manufacturers, Ford, Stellantis, and General Motors.

Premier Ford said Canadians need to be willing to use every tool in their tool kit.

“That includes surcharges or even outright restrictions on the critical minerals and electricity we supply to the United States,” he said during the conference.

He said he was writing to every senator and congressman, and the governors of New York State, Minnesota, and Michigan to let them know if the tariffs persist, and if Trump puts any more tariffs in place, Ontario would immediately apply a 25 percent surcharge on electricity.

“We will not hesitate to shut off their power as well,” Ford said.

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Ford posted a copy of the letters he was sending to U.S. officials on social media.

“Ontario alone powers 1.5 million homes and businesses every year,” he wrote in the letter dated March 4.

“If these tariffs persist or if the Trump administration moves forward with any additional tariffs, Ontario will apply a 25 percent surcharge on the electricity we export to New York, Michigan, and Minnesota. I won’t hesitate to increase this surcharge, or, if necessary, shut the electricity off completely.”

The United States imported about 2,700 gigawatt hours in 2024, about 50 percent more than the United States sells to Canada.

At the news conference, Ford said he encouraged other premiers to do the same.

Alberta Premier Danielle Smith and Saskatchewan Premier Scott Moe have said they are opposed to placing export tariffs on oil and gas. Smith said her province would not “retaliate on energy,” during a CNBC interview on March 4.

Smith said it was an “essential product” for American consumers and businesses. Moe has also said he won’t support export tariffs on potash from his provinces.

Trump has said he will be imposing an additional 25 percent tariff on all steel and aluminum imports. Reciprocal tariffs are also expected to be announced on April 2, with U.S. officials noting that Canada’s federal sales tax (GST), the Digital Services Tax, and protections for poultry and dairy industry were trade barriers.

Ford noted in his letter that putting a charge on the electricity would be in addition to what Ottawa has announced.

Prime Minister Justin Trudeau said there would be 25 percent counter tariffs on U.S. imports to Canada on $155 billion worth of items. The initial tariffs would be applied immediately to $30 billion of American goods. The remaining $125 billion would be imposed in about three weeks.

Ontario has also responded to the tariffs by cancelling the Starlink contract, prohibiting U.S. companies from bidding on government contracts, and removing American alcohol from liquor stores.

Ford estimated American alcohol producers would lose about $1 billion as a result, he said in the letter.

“Instead of fighting each other, we should be working together to make Canada and the United States the richest, most successful, safest and most secure two countries on the planet,” Ford said.

Trump Tells Trudeau Not Enough

Trump and Trudeau had a phone call to discuss the tariffs on March 5.

After the call, Trump posted to social media that he told Trudeau that not enough had been done to curb the flow of fentanyl at the Canada–U.S. border.

Trump said the call ended in a “somewhat friendly” manner, but also accused Trudeau of using the tariff issue to stay in power. Trudeau has not made a statement about the call. His office has not returned a request for comment.

Noé Chartier contributed to this article.

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