Doug Ford reveals tariff plans for U.S. electrical imports: 'We need to end the chaos'
This tariff is expected to generate between $300,000 to $400,000 daily in revenue -- or around $2.8 million weekly.
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Ontario-produced power exported south will come with a 25% surcharge.
Premier Doug Ford made that announcement on Monday, the latest move in Canada’s measures against U.S. President Donald Trump’s trade war against allies.
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Doug Ford reveals tariff plans for U.S. electrical imports: 'We need to end the chaos' Back to video
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“I’ve been crystal clear — until these tariffs are off the table, until the threat of tariffs is gone for good, Ontario will not relent,” Ford said during a press conference at Queen’s Park.
“We will not back down, pausing some tariffs and making last-minute exemptions — it won’t cut it. We need to end the chaos, once and for all.”
The new rules, which went into effect Monday, add around $10 per megawatt-hour to the cost of Ontario-exported power.
This tariff is expected to generate between $300,000 to $400,000 daily in revenue — or around $2.8 million weekly.
Ford said it could add around $100 per month to Americans’ utility bills.
“America directly benefits from Ontario’s clean, reliable and affordable electricity,” Energy Minister Stephen Lecce said.
“We’ve kept the lights on in American homes, American factories and farms. But when we, as Canadians, are under attack, we will use every tool in our toolbox to fight back for the good of Ontario and Canada.”
According to Ontario government numbers, Ontario exported between 12 and 14.6 terawatt-hours of electricity to the U.S. between 2021 and 2023.
With the exception of Texas, North America’s power grid is extensively connected across both state lines and the U.S.-Canada border.
Ontario shares one interconnection with Minnesota, four with Michigan, and seven with New York State.
These tariffs could only be the first step in weaponizing Ontario energy against the Americans, Ford said, maintaining he has no qualms about cutting off Canadian power exports entirely.
“I will not hesitate to increase this charge,” Ford said.
“If necessary, if the United States escalates, I will not hesitate to shut the electricity off completely.”
Ford said he had reservations about taking this action, but said the fault lies with Trump.
“Believe me when I say, I do not want to do this,” Ford said.
“I feel terrible for the American people, because it’s not the American people who started this trade war — it’s one person who’s responsible, that’s President Trump.”
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Ford said these measures will still go forward despite Trump’s decision last week to hold off on additional tariffs specifically targeting the auto sector until next month.
The walkback by the White House prompted federal Finance Minister Dominic LeBlanc to hit the pause button on Canada’s second wave of retaliatory tariffs on $125 billion worth of U.S. products — at least until April 2.
Ontario has already torn up a $100-million high-speed internet deal with Elon Musk-owned Starlink, has barred U.S.-based firms from participating in procurement opportunities, and has threatened to withhold Ontario exports of certain critical minerals in high demand by U.S. industry.
As well, the LCBO — the world’s largest purchaser of alcoholic beverages — has pulled all American beer, wine and spirits from its shelves.
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