Ontario/Ford: Trump's Tariffs on Canadian Oil Unlikely

Forex - Ontario Premier Doug Ford stated that it is unlikely for Donald Trump, who was elected President in the U.S., to impose tariffs on Canadian oil, but he may target the manufacturing sector while restructuring trade relations. Ontario, Canada’s most populous province, hosts an automotive parts industry that is closely integrated with the supply chain of U.S. automobile production in Michigan. Trump has threatened to impose a 25% tariff on imports from Canada and Mexico until these countries curb the flow of immigrants and illegal drugs. Ford raised alarms about the potential damage a tariff imposed by Trump could inflict on his province, which is heavily reliant on automotive production, stating, “This will hurt auto workers in both the U.S. and Ontario.” Earlier this month, Ford threatened retaliatory measures by reducing energy exports to Michigan, New York, and Minnesota. Canada is the largest foreign supplier of oil to the U.S., sending over 4 million barrels a day to refineries in the Midwest and Gulf Coast.