Ontario’s premier, the leader of Canada’s most populous province, announced that effective Monday it would be charging 25 per cent more for electricity to 1.5 million Americans in response to US President Donald Trump’s trade war.
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.”
Ford said Ontario’s tariff would remain in place despite the one-month reprieve from Trump, noting a one-month pause means nothing but more uncertainty.
Ford’s office said the new market rules required any generator selling electricity to the US to add a 25 per cent surcharge. Ontario’s government expects it to generate revenue of C$300,000 to $400,000 (US$208,000 to US$277,000) per day, “which will be used to support Ontario workers, families and businesses.”
The new surcharge is in addition to the federal government’s initial C$30 billion (US$21 billion) worth of retaliatory tariffs have been applied on items like American orange juice, peanut butter, coffee, appliances, footwear, cosmetics, motorcycles and certain pulp and paper products.
