Ontario Premier Doug Ford has announced the cancellation of a $100 million contract with Starlink, the satellite internet service owned by Elon Musk, in response to newly imposed U.S. tariffs on Canadian goods. In a statement, Ford declared, “We’ll be ripping up the province’s contract with Starlink. Ontario won’t do business with people hellbent on destroying our economy”. This decision is part of a broader strategy to ban American companies from participating in provincial contracts until the tariffs are lifted, affecting Ontario’s significant procurement budget.
The Starlink deal was initially intended to provide high-speed satellite internet access to rural and remote communities in Ontario, set to launch in June 2025. The province had committed to covering installation and equipment costs for approximately 15,000 households and businesses. However, Ford’s recent actions align with a series of retaliatory measures taken by Canadian leaders against U.S. President Donald Trump’s trade policies, which include imposing 25% tariffs on nearly all imports from Canada, excluding energy products.
Ford emphasized the financial implications of this trade conflict, stating, “Every year, the Ontario government and its agencies spend $30 billion on procurement… U.S.-based businesses will now lose out on tens of billions of dollars in new revenues. They only have President Trump to blame”. This cancellation not only halts the Starlink project but also signals a potential escalation in the trade tensions between Canada and the U.S.
In response to the tariffs, other provinces like Quebec are also taking steps to remove U.S. products from their controlled liquor stores, further illustrating the growing economic rift. Prime Minister Justin Trudeau is expected to discuss these issues with Trump as Canada prepares for what could be a prolonged trade war.
As the situation unfolds, experts warn that if these trade tensions continue, Canada may face severe economic repercussions reminiscent of those experienced during the COVID-19 pandemic. The cancellation of the Starlink contract marks a significant shift in Ontario’s approach to international business relations amid escalating tariff conflicts.
Source: CBC News
One Response
As long as they keep the fighting off the ground not using our children to do their wars, we could care less. Humans know how to live without overlords.