March 19, 2025
TORONTO (AP) — Ontario's premier, the leader of Canada’s most populous province, announced that effective Monday it is charging 25% more for electricity to 1.5 million Americans. Ontario provides electricity to Minnesota, New York, and Michigan.
“I will not hesitate to increase this charge. If the United State escalates, I will not hesitate to shut the electricity off completely,” Ontario Premier Doug Ford said at a news conference in Toronto.
Ford said Ontario’s tariff would remain in place despite the one-month reprieve from President Donald Trump, noting that a one-month pause means nothing but more uncertainty. Quebec is also considering taking similar measures with electricity exports to the U.S.
Ford's office said the new market rules require any generator selling electricity to the U.S. to add a 25% surcharge. Ontario's government expects it to generate revenue of $300,000 Canadian dollars ($208,000) to CA$400,000 ($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 CA$30 billion ($21 billion) worth of retaliatory tariffs that have been applied on items like American orange juice, peanut butter, coffee, appliances, footwear, cosmetics, motorcycles, and certain pulp and paper products.
Trump launched a new trade war last week by imposing tariffs against Washington’s three biggest trading partners, drawing immediate retaliation from Mexico, Canada, and China.
Trump later said he has postponed 25% tariffs on many goods from Canada and Mexico for a month, amid widespread fears of a broader trade war.
Ford estimated it will add about CA$100 ($69) a month to the bills of each American affected.
“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.
Ford said Trump changes his mind every day, but if he continues to attack Canada, he will do everything it takes to maximize the pain.
Trump has urged U.S. automakers to move auto production from Canada and Mexico to the U.S. Last week, Trump granted a one-month exemption to 25% tariffs on vehicles and auto parts traded through the North American trade agreement, USMCA, after speaking with leaders of automakers Ford, General Motors, and Stellantis. Ontario is the auto sector hub of Canada.
Premier Ford also noted Trump is threatening Canada with steel, aluminum, and dairy tariffs.
“I will do whatever it takes to maximize the pain against Americans,” Ford said.
