Ontario announces retaliatory tariffs and procurement bans in response to U.S. trade measures, escalating tensions between Canada and the U.S.
Doug Ford Condemns Trump’s Tariffs, Announces Ontario Retaliation
Ontario Premier Doug Ford has announced sweeping retaliatory measures in response to former U.S. President Donald Trump’s tariffs on Canadian imports. In a March 4 news conference, Ford denounced the tariffs as an “economic attack” on Ontario and Canada, vowing to fight back with strong countermeasures, including bans on American alcohol sales, government procurement restrictions, and potential surcharges on electricity exports to the U.S.
“President Trump has chosen chaos instead,” Ford stated. “Now, we have no choice. We have to respond.”
Major Economic Consequences for U.S. Businesses
Ford emphasized that Trump’s tariffs will hurt not just Canada, but American workers and businesses as well. He cited a $3 trillion decline in the S&P 500, predicting that factory shutdowns and layoffs would follow across the American Rust Belt.
“I have spoken to governors, senators, congressmen and women—both Democrats and Republicans—and they tell me these tariffs are a massive mistake,” Ford said. “Assembly lines will start closing within ten days.”
Ontario’s Retaliatory Measures Take Immediate Effect
In direct retaliation, Ontario will implement several economic restrictions against U.S. businesses:
- LCBO (Liquor Control Board of Ontario), the world’s largest buyer of alcohol, will immediately remove all U.S. brands from its shelves. This affects $1 billion in U.S. wine, beer, spirits, and seltzers from 35 states.
- Ontario government procurement contracts—totaling $30 billion annually—will exclude U.S. companies.
- Municipal governments across Ontario are urged to follow suit in banning American suppliers.
- Starlink’s contract with Ontario is being canceled, a direct blow to Elon Musk’s satellite internet service.
Ford warned that if Trump escalates tariffs further, Ontario will impose a 25% surcharge on electricity exports to the U.S., targeting states heavily dependent on Ontario’s power supply, including Michigan, New York, and Minnesota.
Canada Gears Up for a Long Trade War
Ford called on Canadian Premiers and the federal government to escalate trade responses. He supported Prime Minister Justin Trudeau’s federal retaliatory tariffs, demanding that revenue from these tariffs be quickly redistributed to affected workers and businesses.
“We also need to be ready to dig in for a long fight,” Ford stated. “That includes surcharges, or even outright restrictions on the critical minerals and electricity we supply to the United States—the very resources they depend on.”
Will Ontario’s Measures Force U.S. Policy Reversals?
Ford made it clear that American businesses, politicians, and consumers must pressure Trump to reverse course. He directly called out Republican governors, Congress members, and industry leaders to oppose the tariffs, highlighting Kentucky bourbon as a primary target for Ontario’s retaliation.
“We are the world’s largest buyer of Kentucky bourbon—it’s gone,” Ford stated. “The Governor of Kentucky told me, ‘Do anything, but don’t touch our bourbon.’ Well, that’s the first thing we’re going after.”
Ford also hinted at further escalations, including halting Ontario’s export of critical minerals like nickel and uranium—resources essential to the U.S. automotive and energy sectors.
Calls for Unity and Economic Resilience
Acknowledging the hardships Ontarians may face due to trade tensions, Ford pledged government support for impacted workers and businesses, vowing to retool Ontario’s economy toward domestic manufacturing and diversified global trade.
“We need to speed up approvals for our critical minerals, infrastructure projects, and supply chains,” Ford said. “We will rebuild roads, bridges, and highways to keep our economy strong.”
He urged Ontario’s major retailers to clearly label Canadian-made products and encouraged residents to boycott U.S. goods whenever possible.
Next Steps: Ontario Poised for Further Action
As tensions escalate, Ford promised further measures if Trump proceeds with additional tariffs, including a full cut-off of Ontario’s electricity exports to U.S. states.
“We are resilient, proud, and strong,” Ford declared. “We didn’t start this fight, but you better believe we are ready to win it.”
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