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President Trump has escalated his trade war with “tariff abuser” Canada, while dismissing the 25% power import surcharge being imposed on three US states.
“Despite the fact that Canada is charging the USA from 250% to 390% Tariffs on many of our farm products, Ontario just announced a 25% surcharge on ‘electricity,’ of all things, and your (sic) not even allowed to do that,” Trump raged on Truth Social late Monday.
“Because our Tariffs are reciprocal, we’ll just get it all back on April 2,” Trump said, of when his tariff plan kicks off.
“Canada is a Tariff abuser, and always has been, but the United States is not going to be subsidizing Canada any longer,” he warned.
“We don’t need your Cars, we don’t need your Lumber, we don’t your Energy, and very soon, you will find that out,” he warned.
Ontario Premier Doug Ford slapped a 25% surcharge Monday on energy exports to the Canadian province’s three US state customers — New York, Michigan and Minnesota — and said he would “not hesitate to shut the electricity off completely” if the tit-for-tat between the neighbors continued.
The move came after Trump threatened — then postponed — sweeping 25% tariffs on all Canadian goods and 10% tariffs on energy imports last week.
The White House recently agreed to exempt cars and select goods from the tariffs under existing trade agreements, but Ontario proceeded with the price increase as planned.
New York Gov. Kathy Hochul and Sen. Chuck Schumer warned that the tariff war will ultimately lead to higher energy prices in the Empire State, despite Canada importing only a fraction of New York’s power.
The New York Independent System Operator said the state imports just 3% of its power supply from Ontario and has enough generating capacity to make up for a cut-off or pricier Canadian exports.
