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Canada’s Ontario province has imposed a 25% surcharge on US power exports in response to Donald Trump’s tariffs, escalating tensions between the two nations.
The surcharge will affect 1.5 million homes and businesses in Michigan, Minnesota, and New York, costing families and businesses in these states up to $400,000 per day, according to Ontario premier Doug Ford.
“This will result in an average increase of $100 per month for hard-working Americans,” Ford stated, vowing to maintain the surcharge until the threat of tariffs is eliminated.
He further warned, “If necessary, I will not hesitate to completely cut off electricity supply if the United States escalates the situation.”
Ontario’s actions underscore the economic repercussions of Trump’s tariffs on Canada and Mexico, the US’s largest trading partners. Trump recently imposed 25% tariffs on most Canadian and Mexican goods but later exempted those covered by the United States-Mexico-Canada Agreement.
The North American Electric Reliability Corporation has cautioned that energy stability could be at risk if cross-border electricity and gas supplies are disrupted in a trade war between the two countries.
This story is developing and will be updated as more information becomes available.