Toronto: The premier of Ontario, Canada's most populous province, declared on Monday that, in retaliation for U.S. President Donald Trump's trade war, 1.5 million American households and companies will now be charged 25% more for power. New York, Michigan, and Minnesota all get their electricity from Ontario.
“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, AP reported.
“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.”
Despite Trump's one-month reprieve, Ford stated that Ontario's tariff would stay in place, pointing out that a one-month break only creates more uncertainty. With regard to electricity exports to the United States, Quebec is also thinking about implementing such policies.
Trade war intensifies
The surcharge is in place in addition to the first 30 billion Canadian dollars ($21 billion) in retaliatory tariffs imposed by the federal government on imports such as American orange juice, peanut butter, coffee, appliances, footwear, cosmetics, motorbikes, and specific pulp and paper goods.
By enacting tariffs against Washington's top three trading partners last week, Trump sparked a new trade war that sent financial markets into a spiral and prompted rapid retaliation from China, Canada, and Mexico.
“It needs to end. Until these tariffs are off the table, until the threat of tariffs is gone for good, Ontario will not relent,” Ford said.