US Department of Labor reports or major economic analysis

Ontario's Ford Threatens to Cut U.S. Energy and Minerals if President-Elect Trump's 25% Tariffs Proceed

Dec 12, 2024, 02:58 PM

Ontario Premier Doug Ford has threatened to cut off energy exports to the United States if President-elect Donald Trump follows through on his plan to impose 25% tariffs on all Canadian imports. Describing the province as "deadly serious" about its planned "escalation maneuvers," Ford indicated that withholding critical minerals and metals is also under consideration. He emphasized that his threat is a "last resort" and expressed hope that it "never comes to that point," stating, "The problem is not with Canada." The potential U.S. tariffs aim to curb illegal immigration and drug trade across the northern border. Analysts warn that imposing tariffs on Canada and Mexico could spike gasoline prices in the Midwest, raise electricity costs along both coasts, and harm American refiners. The Mexican government estimates that the tariffs could cost the U.S. economy up to 400,000 jobs and increase prices for American consumers. Despite the potential economic fallout, Trump has indicated his desire for Canada and Mexico to "pay a very big price," signaling a possible trade war between the neighboring countries.