Ontario Hits Back at US Tariffs with 25% Surcharge on Electricity Exports
(Adapted from a BBC report)
Ontario, Canada’s most populous province, is fighting back against U.S. tariffs by adding a 25% surcharge on electricity it sends to the U.S.
The move, announced by Ontario Premier Doug Ford on Monday, will raise costs for about 1.5 million American homes in states like New York, Michigan, and Minnesota.
According to the BBC, Ford said the surcharge will remain until the U.S. removes its tariffs on Canadian goods.
Ford called President Donald Trump’s tariffs a “disaster” for the U.S. economy, saying they make life more expensive for American families and businesses.
He also said Ontario will use the extra money from the surcharge to help local workers and businesses hurt by U.S. tariffs.
This is part of a larger trade dispute between the U.S. and Canada. The Canadian government has already imposed its own tariffs on $30 billion worth of U.S. goods, targeting items like clothing, perfume, and orange juice.
BBC reports that Trump has repeatedly threatened to slap a 25% tariff on all Canadian exports, which could hurt jobs in Canada and raise prices for Americans.
Last week, Trump temporarily paused some tariffs on cars and goods traded under the USMCA agreement, a free trade deal between the U.S., Mexico, and Canada. However, he is still expected to impose tariffs on Canadian steel and aluminum soon.
The trade war has caused uncertainty in markets, with the S&P 500 stock index dropping to its lowest level since September.
In a Fox News interview, Trump acknowledged the tariffs might cause a “period of transition” but said they would ultimately benefit the U.S.
As tensions rise, Ontario’s surcharge on electricity exports shows how the trade dispute is affecting everyday life on both sides of the border.
BBC highlights that the situation remains fluid, with both countries trying to protect their economies while avoiding further damage.
(This simplified version is based on the original BBC report.)
https://www.bbc.com/news/articles/c5yrpnr6kr2o