Canada has spurned SpaceX’s Starlink satellite internet plans, but a trade war with Canada and Mexico has had an unexpected impact on another company. The threat of renewed tariffs has actually helped Telesat, a rival satellite communications provider.
This shift is largely due to the role of Elon Musk in President Donald Trump’s administration. As part of his efforts to promote American industry, Trump imposed tariffs on Canadian and Mexican goods in 2017. However, these tariffs have also affected companies that rely heavily on international trade, including SpaceX.
The recent trade tensions between the US and Canada have created uncertainty for many businesses. While this has hurt some companies, it has actually helped Telesat by making its more stable and diversified business model more attractive to investors.
In contrast, SpaceX’s reliance on a single market and limited diversification make it more vulnerable to disruptions in international trade. With the trade war tensions subsiding for now, many experts are watching to see how this will affect companies like SpaceX in the future.
Source: https://www.bloomberg.com/news/newsletters/2025-02-05/trump-tariff-backlash-helps-telesat-as-canada-spurns-spacex