Ford government reacts to latest U.S. tariff twist, vowing to protect Ontario workers

Ontario government officials say the province remains committed to protecting workers and the economy, after a U.S. court quashed some of President Donald Trump's tariffs only for them to be allowed again under an emergency powers law.

On Wednesday, the U.S. Court of International Trade struck down Trump's 10 per cent tariff on most countries and his 25 per cent tariffs on numerous Canadian and Mexican goods, leaving the tariffs on steel and aluminum in place.

"The signals from the courts, you couldn't categorize them as good news or bad news," said Vic Fedeli, the minister of economic development, job creation and trade, at a news conference on Thursday.

Fedeli said the court's decision is simply the most recent development in the daily "twists and turns" of tariffs, and that the provincial government will continue its efforts to keep Ontario workers in high-value jobs.

Later on Thursday, there was another twist.

The Court of Appeals for the Federal Circuit allowed Trump to continue collecting tariffs under an emergency powers law for now, as his administration fights an order striking down the bulk of his signature set of economic policies.

Fedeli spoke Thursday alongside Finance Minister Peter Bethlenfalvy about the government's latest efforts to boost Ontario's economy and protect its workers.

Bethlenfalvy also said the province's number one goal with regard to the tariffs is keeping workers safe. 

"We want no tariffs. We want all workers [protected]. We are protecting our economy so we can keep people working, keep them in business, and support business and support families," he said.

Province says mining project needed amid tariff threat

Bethlenfalvy said that's why Ontario government is spending $500 million to create a new critical minerals processing fund.

The fund will support projects that speed up the province's critical minerals processing capacity and made-in-Ontario supply chain, according to a Thursday news release. Minerals mined in Ontario will be processed in the province by Ontario workers, the release says. 

"We're investing to unlock and process these resources right here in Ontario, securing good-paying jobs and building resilient communities for the future," Bethlenfalvy said in the same news release.

The $500 million investment comes as Ford's government is pushing ahead with the Protect Ontario by Unleashing our Economy Act, or Bill 5, which it says will speed up the approval of mining projects in Ontario.

Critics say tariffs not a legitimate reason for project

However, critics say the province is using tariffs as an excuse to loosen environmental regulations on the industry, as the legislation includes major changes to the province's endangered species and environmental protection laws.

Jamie Kneen, national program co-lead for Mining Watch Canada, a non-profit advocacy group, previously told CBC Toronto it's undemocratic for the government to give itself the power to exclude mines in special economic zones from environmental regulations. 

He questioned whether tariffs are a legitimate reason to reduce regulatory oversight of the mining sector.

"They're just using this as a pretext for doing what they wanted to do already and hoping that people won't notice that the two are not really connected," Kneen said.

Bethlenfalvy said both the federal and provincial governments are "very unified" on combatting tariffs and promoting economic growth for Canada and Ontario.

Fedeli said it's "discouraging" to hear Trump say the U.S. doesn't need Canada, when over half of the nickel that the U.S. uses for its aerospace and defence sectors comes from Ontario. 

The province will continue mining and processing critical minerals, Fedeli said, sending the U.S. a "powerful signal." 

"Despite the rhetoric that comes from the U.S., we are going to continue being a world power in these critical minerals," he said.