Doug Ford is 'ripping up' $100,000,000 contract with Elon Musk's Starlink

Elon Musk's association with US President Donald Trump has harmed his business interests, as Ontario leader Doug Ford has 'ripped up' a Starlink contract worth around C$100,000,000.

The consequences of Elon Musk's involvement in Trump's government have continued to arise, following on from controversial 'Nazi gestures' at the presidential inauguration that have led to Tesla value drops and social media blackouts.

This time, SpaceX subsidiary Starlink has taken the hit after Ontario premier Doug Ford has publicly announced that he is 'ripping up' the proposed C$100,000,000 ($69.3 million) deal to bring Starlink internet services to the Canadian province after Trump placed 25% tariffs on the country.

Announcing his intentions on X, Ford revealed: "Starting today and until the U.S. tariffs are removed, Ontario is banning American companies from provincial contracts.

Doug Ford initially 'ripped up' contracts between Starlink and Ontario after tariffs were announced (Steve Russell/Toronto Star via Getty Images)

"We're going one step further. We'll be ripping up the province's contract with Starlink. Ontario won't do business with people hellbent on destroying our economy."

Ford also asserted, as reported by CBC, that Musk is "part of the Trump team that wants to destroy families, incomes, destroy businesses. He wants to take food off the table of people, hard working people, and I'm not going to tolerate it."

While Musk remains legally distant from the US government, his role as the head of the Department of Government Efficiency (DOGE) gives him significant power when it comes to the finances of the country, and importantly a spot close to the ear of the president.

Having already waged war via social media against the UK government, going as far as to threaten invasion, Musk remains no stranger to political conflict, yet this particular retaliation to his actions would prove to be very costly.

However, it appears as if the Ontario Starlink deal is back on following the temporary suspension of US tariffs on Canada, as Ford revealed on X:

"We have some good news today. We have temporarily averted tariffs that would have severely damaged our economy, giving time for more negotiation and time for cooler heads to prevail.

"With the U.S. pausing tariffs, Ontario will also pause our retaliatory measures. If President Trump proceeds with tariffs, we won't hesitate to remove America products off LCBO shelves or ban American companies from provincial procurement."

Trump's decision to pause the tariffs has indicated that the Starlink/Ontario deal is back on (Chip Somodevilla/Getty Images)

What that indicates is that the Ontario Starlink contract will remain a negotiating position for the time being, looming over a trade war that will likely not subside any time soon.

Some on social media have argued that this only harms Ontario residents, as Musk is far too rich to feel the effects of the monetary loss and it is those living there - especially in rural areas - that are without high speed internet that Starlink would provide.

Musk himself didn't seem to bothered once after Ford initially announced that the deal was off, posting a simple "Oh well" in response to the news, but he has not offered any further comment following the removal of tariffs.