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Ontario rips up Starlink deal, plans to add energy surcharge in response to tariffs

TORONTO — Ontario Premier Doug Ford confirms the province will ban American companies from procurement contracts and rip up a $100-million Starlink deal after U.S. President Donald Trump imposed tariffs on Canadian goods.
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An LCBO employee moves products in an LCBO store at Union Station in Toronto on Tuesday, March 4, 2025. THE CANADIAN PRESS/Laura Proctor

TORONTO — Ontario Premier Doug Ford confirms the province will ban American companies from procurement contracts and rip up a $100-million Starlink deal after U.S. President Donald Trump imposed tariffs on Canadian goods.

That comes after the Liquor Control Board of Ontario said this morning it will stop buying and selling U.S. alcohol.

Ford says he will soon impose a 25 per cent surcharge on electricity that the province sends to 1.5 million Americans in several different states, and has threatened to cut off power altogether if U.S. tariffs remain place into April.

Trump imposed tariffs of 25 per cent on Canadian goods with a lower 10 per cent levy on energy.

The LCBO is the sole purchaser for all American alcohol across the province and imports $965 million worth of booze annually. It has more than 3,600 American products from 36 states on its shelves.

The premier says American companies will not be able to bid on the $30 billion worth of procurement contracts the government awards each year.

This report by The Canadian Press was first published March 4, 2025.

The Canadian Press