Trump’s tariffs: Ontario to restrict electricity to U.S. / Salon.com

By Quinn Sental News Fellow Published December 12, 2024 4:34PM (EST)

  • Ontario’s Warning: Ontario may restrict electricity exports to the U.S. if President-elect Donald Trump imposes tariffs on Canadian products.
  • Electricity Exports: Ontario exports electricity to Michigan, Minnesota, and New York, powering 1.5 million homes in 2023.
  • Trump’s Tariff Threat: Trump has threatened a 25% tariff on Canadian and Mexican imports if they don’t reduce the flow of migrants and drugs into the U.S.
  • Ford’s Response: Ontario Premier Doug Ford stated that restricting electricity would be a last resort to defend Ontarians and Canadians.

Trump says that tariffs are paid by the exporting company. Well, here’s a case where it will hurt not only hurt companies, but also goverment agencies (federal, state, county, and municipality), people and hospitals. Electrical power generation/distributors will have to pay more for that imported electricity and pass that surcharge to their customers.

Doug Ford, the premier of Ontario, said Ontario is considering restricting electricity to the three U.S. states. The move is a “last resort,” he said, and would make electricity unaffordable for many Americans.

“We’re sending a message to the U.S. If you come and attack Ontario, you attack the livelihoods of people in Ontario and Canadians, we are going to use every tool in our tool box to defend Ontarians and Canadians. Let’s hope it never comes to that. It’s a last resort. I don’t think President-elect Trump wants that to happen. We’re sending a message to the U.S. If you come and attack Ontario, you attack the livelihoods of people in Ontario and Canadians, we are going to use every tool in our tool box to defend Ontarians and Canadians. Let’s hope it never comes to that.” – Ford said at a press conference.

When CNBC asked Trump for a response, repeating claims that the U.S. subsidizes billions for Canada annually. That’s OK if he does that. That’s fine. The United States is subsidizing Canada and we shouldn’t have to do that. And we have a great relationship. I have so many friends in Canada, but we shouldn’t have to subsidize a country.”

On Monday, Canadian Prime Minister Justin Trudeau said he will retaliate against tariffs as the country did during Trump’s first administration.

The official in Ontario Premier Doug Ford’s government said that it’s contemplating restricting Ontario’s liquor control board from buying American-made alcohol.

Ontario is also considering restricting exports of critical minerals required for electric vehicle batteries and preventing U.S.-based companies from the government’s procurement process, the official said on condition of anonymity because the functionary wasn’t authorized to speak publicly about the potential measures.