Ontario Premier Doug Ford announced Monday that the provincial government is terminating its $100 million contract with Elon Musk’s Starlink satellite internet service, citing economic tensions following new U.S. tariffs on Canadian goods.
Ford’s decision follows President Donald Trump’s recent imposition of a 25% tariff on nearly all Canadian imports. In response, Canada has introduced a reciprocal 25% tariff on U.S. goods.
“Ontario won’t do business with people hellbent on destroying our economy,” Ford posted on X, formerly Twitter.
Musk, a close ally of President Trump, now leads the Department of Government Efficiency, an initiative within the Trump administration focused on slashing government spending and deregulation.
Simultaneously, Musk’s Starlink has been securing contracts with local and national governments to provide satellite internet services. The Ontario government’s Starlink contract, signed in November 2024, aimed to improve internet access in remote regions of the province.
During a press conference on Monday, Ford also announced a ban on U.S. companies from bidding on future provincial contracts until the U.S. government lifts the tariffs.
“Musk is part of the Trump team that wants to destroy families, incomes, and businesses,” Ford stated.
“[Musk] wants to take food off the table of hard-working people, and I’m not going to tolerate it,” he added.
Ford emphasized that U.S.-based businesses stand to lose billions in potential revenue due to the trade dispute, attributing the consequences to President Trump’s policies.
