President Trump has blasted Canadian leaders as clowns and told them to fall in line as the trade war escalates

Ontario Premier Doug Ford has threatened to cut electricity and critical minerals to the United States if President Donald Trump continues to escalate his trade war with Canada, drawing an angry response from the US leader.

The exchange came hours after Trump announced that tariffs on Canadian cars, trucks, auto parts and steel would rise to 50% on January 1, 2027. The move followed the collapse of trade talks last week and a separate 50% levy that took effect Saturday on around $20 billion worth of Canadian imports.

"Everything's on the table. I'll do whatever it takes," Ford told AP on Monday, saying Ontario could raise electricity prices or halt exports altogether. "We power 1.5 million homes and businesses," he added, warning that if Trump keeps trying to dismantle Canadian manufacturing, "he better have a pack of batteries."

Trump fired back on Truth Social, dismissing Ford's comments as "bluster" and personally attacking the premier before warning Canadian leaders to "fall in line."

"Someone should get these clowns to 'fall in line' or, the consequences for Canada will be far WORSE!" Trump wrote, again referring to Prime Minister Mark Carney as "Governor Carney." He insisted the US is "far bigger, richer, and stronger" and claimed Canada "couldn't survive" without its southern neighbor.

"I have a lot of real estate on my ass, so he has a lot of room to kiss my ass," Ford shot back during a press conference on Monday.

Ford said Ottawa should consider progressively stronger retaliation, including restrictions on oil, potash and strategic minerals. Quebec Premier Christine Frechette, whose province is a major hydroelectricity supplier, said she is not currently pursuing Ford's approach but would not exclude it as Canada enters a "new phase" of the dispute.

Canada is by far the largest foreign supplier of electricity to the US, although nationwide dependence is relatively modest. US Energy Information Administration data show the US imported about 24.5 terawatt-hours of Canadian electricity in 2025 while exporting about 16 terawatt-hours back, leaving net dependence at roughly 0.2% of total US consumption.

However, the exposure is far more concentrated in border states such as New York, Michigan and Minnesota, where a stable supply of Canadian power can be particularly important during periods of peak demand. Meanwhile, the AI boom is placing additional pressure on regional power grids as tech companies race to build massive, power-hungry hyperscale data centers. In July 2026, New York imposed a one-year moratorium on state discretionary environmental permits for new hyperscale facilities while it develops new regulations intended in part to protect grid stability and ratepayers.

Ontario has used the electricity threat before. In March 2025, Ford imposed a 25% surcharge on electricity exports to the three states before suspending it after Trump threatened to double tariffs on Canadian steel and aluminum.

READ MORE: Canada fires back at Trumps 50% tariffs

Carney also responded to Trump's latest tariff threat on Monday, accusing Washington of seeking to dismantle Canada's auto industry through negotiating terms Ottawa considered unacceptable. After Canada walked away from the talks late Friday, Carney said the US had "asked too much and offered too little" and announced dollar-for-dollar retaliatory tariffs beginning September 8.

(RT.com)