Ontario imposed 25 percent export tariffs on electricity it supplies to the United States on March 10, in response to U.S. tariffs.
President Donald Trump has reacted to Ontario’s decision to impose a 25 percent surcharge on all electricity exports to the United States, saying he will double the steel and aluminum tariffs on Canada set to come into force on March 12.
Trump took to social media several hours after Doug Ford, the premier of Canada’s Ontario province, went ahead with imposing a 25 percent export tariff on electricity his province provides to New York, Michigan, and Minnesota on March 10. The Ontario surcharge was put in place in response to the tariffs the U.S. president has enacted on Canadian products, Ford said.
The electricity tariff will be paid by utility providers in the three states, netting the province an estimated $300,000 to $400,000 per day, Ford said during a March 10 press conference, noting that the tariff will add roughly $100 per month to the bills of 1.5 million American households and businesses.
Trump described Canada as a “tariff abuser” and vowed his country would stop “subsidizing Canada” in his March 10 Truth Social post.
“Despite the fact that Canada is charging the USA from 250% to 390% Tariffs on many of our farm products, Ontario just announced a 25% surcharge on ‘electricity,’ of all things, and your not even allowed to do that,” Trump wrote. “Because our Tariffs are reciprocal, we’ll just get it all back on April 2.”
In a subsequent social media post on March 11, Trump said he will add an additional 25 percent onto the steel and aluminum tariffs from Canada, boosting it to 50 percent. Trump had previously announced a 25 percent tariff on all steel and aluminum imports into the United States, including those from Canada, starting on March 12.
“This will go into effect TOMORROW MORNING, March 12th,” Trump wrote. “Also, Canada must immediately drop their Anti-American Farmer Tariff of 250% to 390% on various U.S. dairy products, which has long been considered outrageous.”
Trump said he would declare a national emergency on electricity “within the threatened area” to allow him to “do what has to be done to alleviate this abusive threat from Canada.”
“If other egregious, long time Tariffs are not likewise dropped by Canada, I will substantially increase, on April 2nd, the Tariffs on Cars coming into the U.S. which will, essentially, permanently shut down the automobile manufacturing business in Canada,” he added. “Those cars can easily be made in the USA!”
Trump has repeatedly said over the past few months that the United States does not need Canadian products or resources and has accused the country of taking advantage of the United States.
His March 10 post offered up similar sentiments.
“We don’t need your Cars, we don’t need your Lumber, we don’t [need] your Energy, and very soon, you will find that out,” he said.
