The Canadian province of Ontario on Monday announced it was cancelling a C$100 million ($68.12 million) contract with Elon Musk's Starlink, the latest retaliatory move against tariffs announced by U.S. President Donald Trump, Reuters reports.
Ontario, the most populous of the 10 provinces and Canada's industrial heartland, also said it was banning U.S. companies from provincial contracts.
Starting on Tuesday, Trump says he will impose a 25% tariff on virtually all Canadian imports except for oil, which faces a 10% surcharge. If prolonged, the measures would send the Canadian economy into a recession.
Ontario Premier Doug Ford, one of the more hard-line premiers on the question of retaliation, said U.S.-based businesses would lose out on tens of billions of dollars in new revenues and only had Trump to blame.
"We'll be ripping up the province's contract with Starlink. Ontario won't do business with people hell bent on destroying our economy," he said in a post on the X social media network.
Starlink was not immediately available for comment.
Prime Minister Justin Trudeau on Saturday announced Canada would impose 25% tariffs on C$155 billion of U.S. goods in response to the U.S. measures.
Trump says the tariffs - which he also imposed on Mexico - will stay in place until Canada does more to fight illegal migrants and fentanyl smuggling.
