Ontario, the most populated province in Canada and a key driver of its economy announced on Monday a prohibition against US firms bidding on government contracts worth tens of billions of dollars while also terminating a deal with Elon Musk’s Starlink in response to US tariffs.
“Ontario will not engage in business with those determined to harm our economy,” said Ontario Premier Doug Ford on X.
“Businesses based in the US will now miss out on tens of billions of dollars in potential revenues. They can only blame President Trump for this.” He added.
Ford announced he was “cancelling” a Can$100 million (US$68 million) agreement with Starlink, signed in November to deliver internet services to 15,000 homes and businesses in remote areas of northern Ontario. Starlink satellites were scheduled to provide internet access to northern Ontario in June.
The company’s owner, Musk, is the world’s wealthiest individual and a close advisor to US President Donald Trump, who pledged to impose 25 per cent tariffs on Canadian imports beginning Tuesday. On Monday, liquor stores in Ontario also began removing US beer, wine, and spirits from their shelves.
Several other Canadian provinces, including Quebec, Nova Scotia, and British Columbia, were implementing similar measures.
The Liquor Control Board of Ontario, which is government-operated, is one of the largest single purchasers of alcohol globally, servicing its outlets and local restaurants, bars, and retailers within the province. Each year, it sells nearly Can$1 billion worth of US-made alcohol, totalling about 3,600 products.
Earlier Monday, Trump had a conversation with Canadian Prime Minister Justin Trudeau regarding the tariffs, announcing on his Truth Social platform that they would communicate again later that day.
