United States tariffs on Mexican and Canadian imports took effect on Tuesday. The levies, set at 25 percent by US President Donald Trump, have been followed by the doubling of duties on Chinese goods to 20 percent. Levies on Canadian energy are limited to 10 percent.

In response, Ontario agreed to suspend its 25% surcharge on electricity exports to Michigan, Minnesota and New York. President Donald Trump earlier on Tuesday threatened a sharp escalation in the budding trade war with Canada in retaliation for Ontario’s export surcharge.