Today : Mar 04, 2025
Politics
04 March 2025

Ontario Premier Threatens Tariff Response Amid U.S. Trade War

Doug Ford proposes Buy Ontario legislation as tariffs loom from Trump administration.

Ontario Premier Doug Ford has affirmed his commitment to implementing "Buy Ontario" legislation as the province braces for impending tariffs from the United States. Speaking at a mining conference on March 3, 2025, only days after winning re-election, Ford expressed his determination to retaliate against U.S. measures threatening to impose 25 percent tariffs on Canadian goods and 10 percent on energy. President Donald Trump announced the tariffs would take effect on March 4, prompting Ford to suggest immediate action to protect Ontario's economy.

"If they want to try to annihilate Ontario, I will do everything, including cut off their energy with a smile on my face," Ford warned, underlining his aggressive stance against the potential trade war. He indicated his government's readiness to restrict electricity exports to the U.S., emphasizing the reliance of several U.S. states, including New York, Michigan, and Minnesota, on Ontario's energy resources.

Ford's comments resonate with the sentiments of many Ontario residents, who have begun checking product labels to support local manufacturing. He remarked on this growing patriotism, saying, "I love seeing people look for the Canadian flag on the product they're buying." At the conference, he encouraged consumers, retailers, and municipalities to source products from Ontario first, and Canada second, before making purchases from elsewhere.

Energy Minister Stephen Lecce added to Ford's rhetoric, mentioning plans to impose surcharges on every megawatt of energy sold to Americans. This proposed tariff match reflects Ford’s assertion to stand firm against U.S. trade policies and to use every tool at their disposal. "We’re going to use every tool in our toolbox," he stated, warning of energy supply cut-offs to retaliate against perceived economic aggression from the U.S.

The planned tariffs by Trump have raised serious concerns about the future of key Ontario industries. Reports from CBC indicate potential devastating impacts on auto manufacturing and steel production sectors, prompting Ford's administration to prepare contingency plans to support affected workers and industries. His election campaigns have included commitments totaling $20 billion CAD to bolster local businesses and employment in the face of such threats.

Addressing the mining conference attendees, Ford outlined his strategy to legislate domestic procurement practices, aimed at prioritizing Ontario products within the $30 billion worth of procurement conducted by the provincial government annually. "I know all 444 municipalities are on board, but we’re going to make sure we legislate it, buying Ontario first," Ford reaffirmed.

With Ontario being one of the largest electricity exporters to the U.S., the stakes are considerably high. The province exported around 33 terawatt hours (TWh) of electricity to U.S. markets last year. The Canada Energy Regulator noted this trade contributed over $5.8 billion to the Canadian economy, showcasing the importance of stable energy trade relations.

Ford’s willingness to stockpile nickel and put restrictions on shipments to the U.S. signifies the serious approach his government is taking. "We’ll respond strongly, and we don’t want to," he noted, indicating his preference for amicable trade but underscoring the necessity of action if provoked.

At the forefront of Ford's statements is his belief to retaliate effectively against U.S. tariffs, aiming to make American states "feel the pain" associated with such economic strain. He stated, "That’s exactly what we’re going to do," highlighting his confidence for Ontario's strategy to face down potential economic warfare.

Ford's rallying cries for provincial support and economic nationalism come amid fear surrounding Trump's trade agenda, with heightened awareness of how interdependent Canadian and U.S. economies are. Observers have noted increased scrutiny of product origins by consumers, reflecting shifts toward more localized purchasing.

The urgency of these measures is accentuated as businesses and consumers prepare for the possible disruptions. Ford reiterated to retailers and consumers, "I’m asking politely until I implement it — every retail store needs to see a Canadian flag on the price." He directed his appeals for cooperation to the public, hoping for compliance before resorting to legislative actions.

On March 3, 2025, Trump officially confirmed the initiation of the tariffs during what appeared to be one of his staunchest stances yet against trade relations with Canada and Mexico. Post discussions surrounding the border security issue, Trump expressed frustration with the situation via social media, which has sent markets swinging. The announcement resulted in significant declines on major stock indices, signaling investor anxiety over these tariff policies.

Consequently, many are left questioning the broader ramifications of these tariffs on cross-border trade. Ford remains hopeful, declaring, "I didn’t start this tariff war, but we’re going to win this tariff war," prompting both Canadian and American observers to monitor Ontario’s response closely as it develops outcomes from the looming trade conflict.