Overview

• Ontario Premier Doug Ford has threatened to impose a 25% surcharge or halt electricity exports to U.S. states like New York, Michigan, and Minnesota in response to new U.S. tariffs on Canadian goods.
• President Donald Trump recently announced 25% tariffs on Canadian and Mexican imports, citing efforts to boost the U.S. economy despite potential disruptions.
• Canada has retaliated with 25% tariffs on $30 billion worth of U.S. goods, with plans to expand these measures if U.S. tariffs persist or increase further.
• States like New York and New England, which rely significantly on Canadian electricity, could face higher energy costs and potential grid reliability challenges if exports are disrupted.
• Energy experts and grid operators warn that the trade dispute could destabilize cross-border electricity supply, affecting price stability and reliability in interconnected regions.