Trump's tariffs meet Canada: Ontario terminates mega contract with Starlink!
Trump's tariffs meet Canada: Ontario terminates mega contract with Starlink!
Ontario, Kanada - Ontario, the Canadian province, now draws clear consequences from Donald Trump's punitive tariffs. The Provincial Prime Minister Doug Ford has publicly announced that Ontario is terminating its $ 100 million contract with the Satellite company Starlink, which belongs to Elon Musk. Ford justified this by not wanting to do business with companies that damage Ontario's economy. On X he wrote about the current situation: "Ontario does not do business with people who destroy our economy" and blamed Trump for this development. This is a direct response to the violation of 25 % to Canadian and Mexican imports that Trump has announced.
But not only Canada feels the effects of the new customs regulations. The German automotive industry is also worried about its future. From February 4, tariffs from Mexico and Canada will apply for 25 percent, and German car manufacturers, including Audi, BMW, Mercedes and VW, will be very affected. According to estimates, around 90 percent of car production in Mexico and Canada goes to the USA. These drastic drastic measures from Trump could lead to manufacturers to shift their production facilities from Mexico to the USA in order to avoid high import taxes. According to a report by the trading sheet, Honda is already considering a relocation, while Mazda is hesitating before further investments in Mexico.
hard times for the automotive industry
The new tariffs have the potential to significantly increase the price for specially imported cars in the USA. Experts from the Rating Agency Standard & Poor’s warn that the average price of a car imported from Mexico could increase by around $ 6,250. These costs are expected to be passed on to consumers, which will increase the financial burden for many US citizens.
In view of the current situation, the reactions of the automotive industry are of great importance. While Ford, GM and Stellantis are already operating production facilities in Mexico, you now have to consider how to adapt your shops to be able to pass the new trade conditions. The development in Ontario could only be the beginning of a more comprehensive upheaval in the trade relationship between the USA, Canada and Mexico, such as OE24.at reported.The complete situation could therefore not only cause industry -specific changes, but also have a lasting impact on the entire economic events, which makes the challenges that companies stand in front of. The automotive industry and its reactions to Trump's customs policy will be the key to navigating the coming months and years, as well as Comee-on.de reports.
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| Ort | Ontario, Kanada |
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