(LifeSiteNews) – Ontario Premier Doug Ford paused a planned 25 percent electricity surcharge on three American states after U.S. President Donald Trump threatened a sharp increase on Canadian steel and aluminum in response to his threats.
In a statement yesterday afternoon from Ford and U.S. Secretary of Commerce Howard Lutnick, both said they “had a productive conversation about the economic relationship between the United States and Canada.”
“Secretary Lutnick agreed to officially meet with Ford in Washington on Thursday, March 13 alongside the United States Trade Representative to discuss a renewed USMCA ahead of the April 2 reciprocal tariff deadline,” the statement reads.
“In response, Ontario agreed to suspend its 25 per cent surcharge on exports of electricity to Michigan, New York and Minnesota.”
On Tuesday, Trump had promised a harsh response to Ford’s electricity tariff threat that would have included an extra 25 percent on steel and aluminum coming from Canada, as reported by LifeSiteNews.
It remained unclear at press time whether Trump will back down on his extra tariff threat. However, on Tuesday, he did say Ford called “and he said he’s not going to do that.”
“It would’ve been a very bad thing if he did, and he’s not going to do that, so I respect that,” he added.
Also on Tuesday, Trump said he would go ahead with his original 25 percent tariff on Canadian steel and aluminum. In response, Canada on Wednesday announced it would impose a 25 percent tariff on U.S. steel and aluminum as well.
Last week, Ford had threatened to impose the electricity surcharge unless Trump dropped the tariffs on Canada, confirming the move on Monday.
As it stands, Ontario is the United States’ largest English-speaking trading partner and supplies 85 percent of the hydroelectricity imported by the United States, according to Canada Energy Regulator data.
Trump has routinely cited Canada’s lack of action on drug trafficking and border security as the main reasons for his punishing tariffs.