ONTARIO (TNND) — Ontario announced that effective Monday, the province will start charging 25% more for the electricity provided to 1.5 million homes and businesses in the U.S. as part of a response to President Donald Trump's trade war.

Ontario provides electricity to Minnesota, New York and Michigan.

"President Trump’s tariffs are a disaster for the U.S. economy. They’re making life more expensive for American families and businesses," Ontario Premier Doug Ford said in a statement . “Until the threat of tariffs is gone for good, Ontario won’t back down. We’ll stand strong, use every tool in our toolkit and do whatever it takes to protect Ontario."

The new surcharge is in addition to the initial round of $30 billion in retaliatory tariffs announced on March 4. The list includes products such as orange juice, peanut butter, wine, spirits, beer, coffee, appliances, apparel, footwear, motorcycles, cosmetics, and certain pulp and paper products.

Ford's office said the new market rules require any generator selling electricity to the U.S. to add a 25% surcharge to the U.S. Ontario's government expects it to generate revenue of $300,000 Canadian (US$208,000) to $400,000 Canadian (US$277,000) per day, “which will be used to support Ontario workers, families and businesses.”

On Sunday, Canada's Liberty Party elected former banker Mark Carney to replace Prime Minister Justin Trudeau.

Carney has vowed to keep the retaliatory tariffs in place until "the Americans show us respect."

Since Trump took office over six weeks ago, he’s pursued sizable 25% tariffs on Canada and Mexico, talked about making Canada our 51st state and called Trudeau a "governor."

Recently, Trump threatened to put new tariffs on Canadian dairy and lumber products one day after he gave the country and Mexico a one-month reprieve on goods that are covered under the United States-Mexico-Canada Agreement (USMCA).

_____

Editor's note : The Associated Press contributed to this article.