Trump terminates all trade talks with Canada over an advertisement

WASHINGTON: US President Donald Trump announced on Thursday that he was halting all trade negotiations with Canada following what he described as a deceptive advertisement featuring former President Ronald Reagan. The ad, which criticised tariffs, caught Trump’s attention and led to his decisive move.

“Based on their egregious actions, ALL TRADE NEGOTIATIONS WITH CANADA ARE HEREBY TERMINATED,” Trump posted on Truth Social.

The advertisement, which aired in Canada, showed Reagan, a Republican icon, condemning tariffs for causing job losses and fueling trade wars. Ontario Premier Doug Ford confirmed earlier this week that the ad had reached Trump, acknowledging that it was likely the cause of the president’s anger. “I heard that the president heard our ad. I’m sure he wasn’t too happy,” Ford said on Tuesday.

Trump, who has used tariffs as a primary tool in his trade policy, has imposed higher duties on many countries, including Canada. His trade war has raised US tariffs to levels not seen since the Great Depression, sparking concerns in the business community and among economists.

On Thursday, Canadian Prime Minister Mark Carney responded by warning that Canada would not allow US businesses unfair access to Canadian markets if negotiations on multiple trade issues fail.

Earlier this year, Trump imposed tariffs on Canadian steel, aluminum, and autos, prompting retaliatory measures from Ottawa. Both nations have been engaged in ongoing talks, particularly about trade in the steel and aluminum sectors.

Next year, the US, Canada, and Mexico are set to review their 2020 trade agreement under the United States-Mexico-Canada Agreement (USMCA).