Canadian politicians need to impose 100% tariff on Teslas, cancel Starlink contracts due to Trump’s commerce wars – Firstpost

In a daring transfer towards Elon Musk’s corporations, Ontario Premier Doug Ford has introduced that his authorities will “rip up” a $100 million contract with Musk’s Starlink. The contract, which was set to carry high-speed web to rural Ontario, will now be cancelled, with Ford laying the blame squarely on US President Donald Trump’s commerce insurance policies.

“President Trump is the one particular person to be blamed,” Ford said, suggesting that Musk ought to have a phrase together with his “buddy” to resolve the state of affairs. Ford’s harsh stance comes amid rising tensions within the US-Canada commerce relationship.

Rising commerce tensions and strategic retaliation

The Starlink contract, which was signed in November, had been scheduled to enter impact over the summer time, aiming to enhance connectivity in Ontario’s northern areas. Nevertheless, Ford made it clear that his authorities wouldn’t assist companies he views as contributing to the destruction of Ontario’s economic system. “Ontario gained’t do enterprise with folks hell-bent on destroying our economic system,” Ford mentioned throughout his press convention. He additionally clarified that the province had not paid for the contract but, reinforcing his place on halting this enterprise deal.

This motion is a part of a broader commerce dispute between Canada and the US, sparked by Trump’s choice to impose a 25 per cent tariff on Canadian items beginning on February 1. In retaliation, Canada launched an identical tariff on US merchandise, which has led to a rising listing of things affected by the escalating commerce battle. Prime Minister Justin Trudeau has labored to ease the tensions with Trump, leading to a 30-day pause on among the tariffs following a diplomatic settlement, however the state of affairs stays fragile.

Concentrating on Musk and American allies

Whereas the commerce battle unfolds, the Canadian authorities can be setting its sights on key figures related to Trump’s administration, together with Musk. Consistent with this, Liberal management candidate Chrystia Freeland has prompt a 100 per cent tariff on Teslas and US alcohol, concentrating on those that assist Trump’s insurance policies. Freeland emphasised the necessity for a “surgical and exact” strategy to retaliating towards Trump’s commerce aggression, making it clear that Canada would reply to American actions with equal power.

Freeland additionally identified that the Trump administration thrives on uncertainty and that Canada might use this to its benefit. By clearly signalling that any assaults on Canada will lead to vital retaliation, she believes Canada can achieve leverage in these negotiations. Because the Liberal Celebration prepares to decide on a brand new chief in March, the rising commerce dispute with the US and Musk’s involvement in these tensions are anticipated to stay scorching matters within the marketing campaign.

Because the commerce battle continues, it’s turning into more and more evident that the fallout can be felt by atypical residents on each side of the border, with shoppers more likely to bear the brunt of the elevated prices. In the meantime, politicians like Ford and Freeland are pushing for focused responses to safeguard Canadian pursuits within the face of mounting strain from the US.