Ontario Premier Doug Ford has announced that the province is canceling a $100-million contract with SpaceX’s Starlink, in response to newly imposed U.S. tariffs on Canadian goods. The decision comes amid escalating trade tensions after President Donald Trump signed an executive order imposing a 25% tariff on all Canadian imports and a 10% tariff on Canadian oil, natural gas, and electricity over the weekend.
“Ontario won’t do business with people hellbent on destroying our economy.” Ford said to reporters on Monday. (via CTV)
The contract with Starlink, which was signed in November, was intended to provide high-speed internet access to thousands of homes in remote and rural communities across Ontario.
Along with the cancellation of the contract, the Ontario government is also barring American businesses from bidding on provincial contracts until the tariffs are lifted. Ontario and its agencies spend approximately $20 billion annually on procurement, a significant portion of which goes to U.S.-based firms.
The premier said that this move would ensure that American businesses “lose out on tens of billions of dollars in revenue” as long as the tariffs remain in place, which Ford argues could cost up to 500,000 Ontario jobs and increase inflation and interest rates on both sides of the border.
“Canada didn’t start this fight with the U.S., but you better believe we’re ready to win it,” Ford added.
At the federal level, Prime Minister Justin Trudeau announced counter-tariffs on Saturday, including a 25% tariff on American-made goods, including Tesla and other electric vehicles (EVs).
