Doug Ford has just pulled the trigger on a massive $100 million contract with Elon Musk’s Starlink, delivering a brutal counterpunch in response to President Donald Trump’s aggressive new tariffs on Canadian exports.
The Ontario Premier made the stunning announcement this week, confirming that the province has scrapped its deal with Starlink, Musk’s satellite internet company, which was set to provide high-speed connectivity to 15,000 rural homes and businesses. Ford’s decision is part of a broader retaliation against what he calls an ‘economic attack’ by the United States.
“We won’t award contracts to people who enable and encourage economic attacks on our province and our country,” Ford declared during a fiery press conference on Tuesday.
Trump’s Tariff War Sparks Retaliation
The move follows Trump’s latest trade blitz, which includes a 25% tariff on Canadian exports and a 10% tariff on Canadian energy. The White House justified the measures by accusing Canada, China, and Mexico of failing to curb the flow of illicit drugs into the U.S. In a provocative statement, Trump suggested that Canada’s only escape from the tariffs would be to become America’s ‘cherished’ 51st state.
Ford, however, is having none of it. In addition to tearing up the Starlink deal, Ontario is taking even more drastic steps, including a potential 25% surcharge on electricity exported to U.S. states like New York, Michigan, and Minnesota. If tensions escalate, Ford has even hinted at completely cutting off the power supply to 1.5 million American customers.
No More U.S. Business in Ontario?
Ford’s administration is also tightening the screws on American businesses, banning U.S.-based companies from participating in future provincial procurement contracts.
Adding fuel to the fire, the Liquor Control Board of Ontario—the province’s primary alcohol distributor—has confirmed it will no longer stock American-made liquor, a move that could shake up the beverage industry on both sides of the border.
Musk Caught in the Crossfire
The now-terminated Starlink deal, signed just last November, was part of an ambitious plan to bridge Ontario’s digital divide. However, Musk’s company has now found itself collateral damage in a geopolitical battle, as Ford looks to hit back at U.S. policies he says are designed to ‘annihilate’ Ontario’s economy.
“We could have poured our efforts into making Canada and the U.S. the two richest, safest, most secure countries on the planet,” Ford said. “Unfortunately, one man—President Trump—has chosen chaos instead.”
With Ford warning that Ontario is prepared for a ‘long fight’ and ready to escalate further, the question remains: how far will this trade war go?