Ontario, Canada’s most populous province and key economic hub, has announced a ban on US companies bidding for tens of billions of dollars in government contracts.
In a direct response to US tariffs, the province also terminated a Can$100 million (US$68 million) contract with Elon Musk’s Starlink, aimed at providing internet services to remote northern communities.
Premier Doug Ford took to X (formerly Twitter) to emphasize the province’s stance: “Ontario won’t do business with people hellbent on destroying our economy,” he said, adding that US businesses would lose out on significant new revenues, blaming President Trump for the situation.
The deal with Starlink, which was signed in November, was set to bring internet access to 15,000 homes and businesses in northern Ontario starting in June. Ford’s announcement follows US President Trump’s imposition of 25% tariffs on Canadian imports, set to take effect Tuesday.
As part of the growing tension, Ontario’s liquor stores began removing US beer, wine, and spirits from their shelves, with other provinces such as Quebec, Nova Scotia, and British Columbia following suit. The Liquor Control Board of Ontario (LCBO), one of the largest alcohol buyers in the world, purchases nearly Can$1 billion worth of US alcohol annually, a figure now under review due to the tariff dispute.
Earlier on Monday, Trump spoke with Canadian Prime Minister Justin Trudeau about the tariffs, with plans for further discussions later in the day.
