Yukon takes aim at Elon Musk's companies with new round of U.S.-tariff retaliatory measures

The Yukon government is targeting Elon Musk's businesses with its latest round of retaliatory measures to new U.S. tariffs against Canada.

Premier Ranj Pillai said on Thursday that the territorial government was ending rebates for Tesla products, cancelling some of its Starlink accounts, and quitting the social media platform, X.

Musk, the chainsaw-wielding billionaire advisor to U.S. President Donald Trump, owns all those companies.

"I think it's pretty clear that he [Musk] has a very significant role with inside the administration right now," Pillai said at a news conference Thursday afternoon.

"I mean, we've watched on a number of occasions where he has sat right next to the president, and has a key role within that administration." 

Pillai called the new tariffs announced by Trump on Wednesday against dozens of countries "unfair, unjust and un-American," and said the U.S. president was "once again throw[ing] decades of rules-based international order out the window."

He said even though Canada was largely spared from this new round of tariffs, others announced earlier against Canada are still in place. Pillai also cited a new tariff on automobile imports into the U.S., saying it will have a big impact on Ontario, and the whole country.

"These tariffs have real impacts for people here in the Yukon. They will make life more expensive for Americans, and Canadians. They will make it more difficult for companies to do business on both sides of the border, and they will have real consequences for the global economy," Pillai said.

The new measures presented by the premier on Thursday follow an earlier set of actions announced in February.

They also come amid growing global backlash against Tesla and other Musk companies.

'Stand in solidarity with Canadian auto workers'

Under Yukon's Good Energy program, residents can apply for rebates worth thousands of dollars, to offset the cost of a new electric vehicle or to install a charging station. Pillai said Thursday those rebates will still be available, but not for Tesla vehicles or Tesla level 2 chargers.

"Our commitment to zero-emission vehicles remain[s] strong, and we will continue to offer incentives for other manufacturers," Pillai said.

"This is one way we can stand in solidarity with Canadian auto workers."

The territory is also looking to scrap as many of its Starlink contracts as it can. Pillai said it has about 90 right now, used primarily at highway camps, rural health centres, campgrounds and emergency response hubs.

The territory won't be able to cancel all those contracts, he said, at least until a viable alternative is found. In the meantime, he acknowledges that the government will still continue to use Starlink "where it is the only option to provide backup in emergency situations or to do essential government business."

Other Canadian jurisdictions have also cancelled contracts with Starlink, and N.W.T. Premier R.J. Simpson said last month that his government was also looking for alternatives.

Pillai didn't offer any details about what those alternatives to Starlink might be in the Yukon. He said the government is talking with Northwestel about some possible options. 

He also acknowledged that many Yukoners have come to rely on Starlink.

"We all know that it's been incredibly helpful in remote areas, especially in the North. But I also think what this signals is that there is absolutely a demand and a market available to a Canadian solution," he said.

Pillai also spoke on Thursday about his government's efforts to prioritize Yukon and Canadian businesses over American ones in awarding government contracts, and offer financial support to local businesses that might be affected by the economic upheaval.

He also urged Yukoners to keep sharing ideas about how his government should respond to the U.S. tariffs. He suggested a potential "phase three" of retaliatory measures, if needed.

"I can't promise we will be able to implement all of your ideas, but it is important that we hear from you as we continue to fight for our sovereignty and our economic future," he said.