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American booze to stay in LCBO, Starlink deal intact as U.S. pauses tariffs: Ford

Ontario will pause all retaliatory measures against the United States now that the threat of tariffs has been put on hold for a month, Premier Doug Ford said Monday. Prime Minister Justin Trudeau and U.S.
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Progressive Conservative Leader Doug Ford speaks from the podium during a visit to Walker Construction in St. Catharines, Ont. on Friday, January 31, 2025. Ford says the province will rip up its $100-million contract with Elon Musk's SpaceX to deliver high-speed internet to remote areas as part of the response to U.S. tariffs. THE CANADIAN PRESS/Peter Power

Ontario will pause all retaliatory measures against the United States now that the threat of tariffs has been put on hold for a month, Premier Doug Ford said Monday.

Prime Minister Justin Trudeau and U.S. President Donald Trump say the tariffs against Canadian goods that had been expected on Tuesday — 10 per cent on energy and 25 per cent on everything else — are paused for at least 30 days.

Earlier Monday, Ford announced he was ripping up a $100-million deal with Elon Musk's SpaceX to deliver high-speed internet to remote areas via Starlink satellite technology.

He said the province would also no longer procure new contracts with American companies, which could lose out on billions of dollars as a result.

And on the weekend, Ford had directed the Liquor Control Board of Ontario to stop selling U.S. booze as of Tuesday.

All those measures are on hold for now, Ford said.

"If President Trump proceeds with tariffs, we won’t hesitate to remove American products off LCBO shelves or ban American companies from provincial procurement," Ford said in a statement.

Ford is in the middle of campaigning as Progressive Conservative leader in a $189-million snap election he called last week.

He has said repeatedly that he needs a mandate from Ontario voters in order to deal with Trump and the tariff threat. Opposition leaders have argued the election is a waste of time and money, and that Ford is seeking personal gain while he is ahead in the polls.

But Ford said the threat of tariffs has already had an effect on the province.

"So long as our trading relationship with our largest trading partner is up in the air, we will continue to see many potential projects frozen and projects that were already underway put at risk," Ford said.

Earlier on Monday, Ford was full of venom about the actions of Trump and anyone abetting him, including Musk.

"I'm not going to support someone that is hellbent on destroying our province, destroying people's families, taking jobs away from them," Ford said at a campaign announcement, hours after announcing as premier that he would cancel the Starlink deal.

"We're done with that. We never started this fight whatsoever, but we're going to win this fight."

The deal, which for now is no longer being cancelled, is set to bring SpaceX's Starlink satellite internet system to 15,000 premises in rural and northern Ontario.

Both Liberal Leader Bonnie Crombie and NDP Leader Marit Stiles said Monday that they were never keen on that contract.

Crombie wrote in a statement that it "never should have been signed in the first place."

Stiles said paying an astronomical price per customer always seemed odd.

"I could never understand why (Ford) was willing to pay so much more than a regular connection to Starlink," she said at a press conference in Oshawa, Ont.

"That deal always smelled funny to me, honestly ... I think we can get a better deal with a Canadian company to supply and connect so many people in this province, and we can do it fast."

When she was infrastructure minister, Kinga Surma said the deal also included a customer service line, installation and engagement with First Nation communities.

Before the U.S. paused tariffs on Monday, Ford hedged about dealings with other American companies.

He said he would not cancel a deal with Staples to move nine ServiceOntario locations into its stores, saying the company has a Canadian headquarters in Ontario.

"So they're employing thousands of people, they're buying thousands of products," he said. "You can't compare apples and oranges."

This report by The Canadian Press was first published Feb. 3, 2025.

Allison Jones and Liam Casey, The Canadian Press