Why TV ad made Trump terminate trade talks with Canada
What's the story
United States President Donald Trump has terminated all trade negotiations with Canada over an ad featuring former President Ronald Reagan speaking negatively about tariffs. The ad was aired by the Ontario provincial government, whose Premier Doug Ford announced on October 14 that the province would spend $75 million on advertisements in the United States featuring Reagan criticizing tariffs. Reacting to the ad, Trump said, "Based on their egregious behavior, ALL TRADE NEGOTIATIONS WITH CANADA ARE HEREBY TERMINATED."
Legal review
Foundation to explore legal options
Trump's action came after the Ronald Reagan Presidential Foundation called the ad misleading and encouraged people to listen to the unedited video of Reagan's speech, which was delivered in April 1987. The institute also said it was reviewing its legal options in this matter. "The Ronald Reagan Foundation has just announced that Canada has fraudulently used an advertisement, which is FAKE...They only did this to interfere with the decision of the U.S. Supreme Court, and other courts," Trump wrote.
Ad
What the ad said
The ad features Reagan saying that while tariffs may seem patriotic, they ultimately hurt American workers and consumers. "When someone says, 'Let's impose tariffs on foreign imports,' it looks like they're doing the patriotic thing by protecting American products and jobs." "And sometimes for a short while it works, but only for a short time," Reagan said over the radio. "But over the long run, such trade barriers hurt every American worker and consumer."
Campaign response
Ad campaign to counter Trump's tariffs
Premier Doug Ford had announced the ad campaign to counter Trump's tariffs, which include a 35% levy on certain Canadian imports. The USMCA, a free trade agreement negotiated by Trump with Mexico and Canada during his first term, exempts some goods from these tariffs. Ford said Ontario would use "every tool" to oppose American tariffs and posted a link to the ad on social media platform X.
Trade tensions
US Supreme Court to hear case on Trump's tariffs
The termination of trade negotiations comes as the US Supreme Court is set to hear arguments in November over Trump's tariffs. The case will determine whether Trump had the authority to impose these wide-ranging tariffs. Earlier this June, Trump had also terminated trade talks with Canada over a digital services tax imposed by Ottawa on American tech firms.