- President Trump said he will double tariffs on Canadian steel and aluminum from 25% to 50%. The increased tariffs will take effect Wednesday, March 12.
- The announcement came after Ontario implemented a 25% surcharge on electricity exports to Michigan, Minnesota and New York.
- Later, Ontario said it would suspend its 25% surcharge and meet with U.S. Commerce Secretary Howard Lutnick on Thursday, March 13.
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President Donald Trump announced he will double planned tariffs on Canadian steel and aluminum from 25% to 50%, taking effect Wednesday, March 12. His doubling down is in response to Canada’s 25% electricity export tariff.
In response to Trump’s threat, Ontario said Tuesday afternoon the province would suspend the 25% electricity surcharge and meet with U.S. Commerce Secretary Howard Lutnick to discuss a renewed trade agreement on Thursday, March 13.
Please see a joint statement from United States Secretary of Commerce Howard Lutnick and myself:
— Doug Ford (@fordnation) March 11, 2025
Today, United States Secretary of Commerce @howardlutnick and Premier of Ontario Doug Ford had a productive conversation about the economic relationship between the United States…
“Today, United States Secretary of Commerce [Howard Lutnick] and Premier of Ontario Doug Ford had a productive conversation about the economic relationship between the United States and Canada,” the joint statement from Lutnick and Ford reads. “In response, Ontario agreed to suspend its 25 per cent surcharge on exports of electricity to Michigan, New York and Minnesota.”
The Canadian province of Ontario first announced the retaliatory electricity charge on Monday, March 10. Premier Doug Ford said the 25% surcharge on electricity exports to Michigan, Minnesota and New York would affect electricity sales to 1.5 million American homes and cost businesses and residents up to $400,000 per day.
“I will shortly be declaring a National Emergency on Electricity within the threatened area,” Trump said on Truth Social. “This will allow the U.S. to quickly do what has to be done to alleviate this abusive threat from Canada.”
It’s not just about electricity
Trump also took aim at Canada’s import tariffs on U.S. dairy products that exceed 200%. The Canadian policy charges such tariffs if imports go above a pre-negotiated amount of tariff-free dairy sales. The International Dairy Foods Association said these tariffs have not been charged.
“Frustratingly, the U.S. has never gotten close to exceeding our USMCA quotas because Canada has erected various protectionist measures that fly in the face of their trade obligations made under USMCA,” the International Dairy Foods Association said.
Trump said his doubling of tariffs on steel and aluminum to 50% is just the start if Canada continues to retaliate against the U.S.
“If other egregious, long time Tariffs are not likewise dropped by Canada, I will substantially increase, on April 2nd, the Tariffs on Cars coming into the U.S. which will, essentially, permanently shut down the automobile manufacturing business in Canada. Those cars can easily be made in the USA!” Trump wrote.
Canada and the 51st state
The president again reiterated his position Tuesday, March 11, that Canada should become the 51st state of the United States.
“America is not Canada. And Canada never ever will be part of America in any way, shape or form,” incoming Canadian Prime Minister Mark Carney said Sunday, March 9. “We didn’t ask for this fight, but Canadians are always ready when someone else drops the gloves.”
This story was updated to reflect Ontario’s announcement of suspending the electricity surcharge.
