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Ontario Premier Announces 25% Surcharge on Electricity Exported to US Beginning March 10


Ontario Premier Doug Ford announces that a 25 percent surcharge on electricity exports to the United States will be implemented starting next week.

Ford had previously informed the governors of New York state, Minnesota, and Michigan about the upcoming surcharge, without specifying the start date.

In an interview with CNN on March 6, Ford confirmed that the surcharge would come into effect on March 10.

“Starting this Monday, a 25 percent tariff will be imposed on electricity supplied to 1.5 million homes and businesses in those three states,” Ford stated. “It saddens me that we have to take this step. I’d rather not do it.”

On March 4, U.S. President Donald Trump imposed tariffs on Canadian imports, including a 25 percent tariff on energy due to border security concerns. Ford cited this as the reason for Ontario’s surcharge.

Ford also mentioned on March 4 that he was willing to go further by halting electricity transmission from Ontario to the U.S.

The U.S. imports more power from Canada than it exports, buying 2,700 gigawatt hours last year. Ford expressed a preference for increasing electricity and mineral exports to the U.S., suggesting Trump drop tariffs on Canada and renegotiate the USMCA.

“Let’s eliminate these tariffs, sit down, and renegotiate the USMCA deal that [Trump] championed. It’s time for an update. Let’s restore certainty,” Ford recommended.

Trump stated on March 6 that tariffs on Mexican goods under USMCA would be paused for four weeks, citing a positive relationship with Mexican President Claudia Sheinbaum.
“After discussions with President Claudia Sheinbaum of Mexico, it was agreed that Mexico won’t face tariffs on USMCA products,” Trump announced on Truth Social. “This understanding is valid until April 2nd, as a gesture of respect to President Sheinbaum.”

No mention was made of tariff relief for Canada by Trump. In a separate Truth Social post, he criticized Prime Minister Justin Trudeau, accusing him of using tariffs for political gain.

Although Trump and Trudeau spoke on March 5, no updates on the tariff situation were shared.

Matthew Horwood contributed to this article.



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