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Retaliation from Trump to Canada with Electricity Tariffs: End of Subsidies

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President Donald Trump harshly responded to Canada’s decision to increase the electricity rates to US states by 25%, stating that “the US will no longer subsidize Canada.” Canada, on the other hand, is gearing up to retaliate against the US with tariffs. President Trump made the remarks regarding Ontario’s decision to apply an additional 25% fee for the electricity provided to US states, emphasizing that “Canada is a tariff abuser and has always been so, but the US will no longer subsidize Canada.” He announced this response on his Truth Social account. Trump reminded that Canada applies tariffs ranging from “25%” to “30%” on many agricultural products imported from the US and the tariffs that will take effect on Canada starting April 2 in response to Ontario’s decision. He added, “Canada is a tariff abuser and has always been so, but the US will no longer subsidize Canada. We do not need your cars, lumber, or energy, and you will soon find that out.” The US had imposed an additional 25% customs duty on products imported from Canada and Mexico starting March 4. Trump later announced that they would not apply customs tariffs until April 2 for products covered under the “United States-Mexico-Canada Agreement (USMCA).” President Donald Trump had also announced that additional tariffs on steel and aluminum imports would take effect on March 12. Ontario Prime Minister Doug Ford declared yesterday that they would increase the electricity rates provided to US states by 25% in response to the US administration’s customs duties. Ford emphasized that they would not hesitate to increase this rate if necessary, stating, “If the US escalates this, I will not hesitate to cut off electricity entirely. I feel sorry for the American people because they are not the ones starting this trade war. There is only one person responsible, and that is President Trump.”

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