The Canadian province of Ontario on Monday announced it was banning contracts with US companies in retaliation over President Trump’s expected tariffs — including scrapping a nearly $70 million deal with Elon Musk’s Starlink.
Ontario Premier Doug Ford, one of the more hard-line leaders on the question of retaliation, said U.S.-based businesses would lose out on tens of billions of dollars in new revenues and only had Trump to blame.
“Starting today and until US tariffs are removed, Ontario is banning American companies from provincial contracts,” Ford, who heads the most populous Canadian province, wrote on X early Monday morning.
“Every year, the Ontario government and its agencies spend $30 billion on procurement, alongside our $200 billion plan to build Ontario,” the premier wrote. In US dollars, that amounts to $20 billion on procurement and $137 billion.
Ford also said that “we’re going one step further” by “ripping up the province’s contract with Starlink.”
“Ontario won’t do business with people hellbent on destroying our economy,” Ford wrote.
Under the terms of the $68 million deal, which Ontario signed last November, Starlink was to provide high-speed internet access to 15,000 eligible homes and businesses in more remote communities.
Trump said the US will impose a 25% tariff on virtually all Canadian imports except for oil, which faces a 10% surcharge, starting on Tuesday.
“Canada didn’t start this fight with the US, but you better believe we’re ready to win it,” Ford said.
The Post has sought comment from Musk and the White House.
Musk, the world’s richest person, has emerged as a key adviser to Trump after he donated more than $200 million to his election campaign.
Follow the latest on President Trump’s tariffs
News of the tariffs over the weekend led to sharp declines on Wall Street early on Monday morning, but the markets rebounded after Mexican President Claudia Sheinbaum announced a deal with Trump that puts the tariffs on hold for a month.
It is unclear if Trump plans to delay tariffs on Canadian imports. The US president had indicated that he planned to speak to Canadian Prime Minister Justin Trudeau on Monday afternoon.
Canada on Saturday announced that it would impose tariffs on US imports in response to Trump’s move.
For its part, Canada plans to put a 25% tariff on $155 billion worth of US goods, including beer, wine and bourbon, fruits and fruit juices, vegetables, perfume, clothing and shoes.
“Many of us will be deeply affected. A lot of people will go through dark times. We’re asking you to support one another, to be there for your friends, your neighbors, and your fellow Canadians,” Trudeau said.
Trudeau added that it might be in the country’s best interest to forgo American products altogether, like Florida orange juice.
Trudeau, who is leaving office in the next six weeks, slammed Trump’s tariffs as a “threat targeting the entire country” that would also have serious ramifications for the US.
“This is a choice that yes, will harm Canadians, but beyond that, it will have real consequences for you, the American people,” Trudeau said.
“As I have consistently said, tariffs again against Canada will put your jobs at risk, potentially shutting down American auto assembly plants and other manufacturing facilities. They will raise costs for you, including food at the grocery stores and gas at the pump.”
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