Trump Cancels Trade Talks With Canada, Carney Says Ready to Resume

Ottawa (TDI): In a dramatic escalation between the United States and Canada, President Trump announced on Thursday that he was terminating all trade negotiations with Canada, after a provincially-funded Canadian advertisement used excerpts from a 1987 Ronald Reagan speech to criticize US tariffs.

The ad, produced by Ontario’s government, used Reagan’s remarks to argue that trade barriers hurt workers and consumers; a message that encountered Trump’s emphasis on tariffs and protectionism.

The Ronald Reagan Presidential Foundation condemned the ad as unauthorized and misleading, accusing Ontario of taking the late president’s words out of context.

Trump responded on his social media platform by calling the ad “fraudulent” and claimed it was an attempt by Canada to interfere with ongoing US Supreme Court cases concerning his tariff powers. “Based on their egregious behavior, ALL TRADE NEGOTIATIONS WITH CANADA ARE HEREBY TERMINATED.”

Canadian Prime Minister, Mark Carney, came forward with a calmer tone, saying his government remains ready to resume talks and emphasizing that discussions on specific trade sectors have been making progress before the rupture.

Read More: Canada’s PM Seeks Trade Breakthrough with Trump in Oval House Meeting

He argued that both countries benefit from open and predictable trade relations and warned that economic nationalism on either side of the border would only hurt workers.

Ontario Premier Doug Ford appeared more defiant. He initially said the ad campaign would continue during the US broadcast of the World Series to reach a wider American audience but later announced it would be paused starting Monday to “allow for dialogue.”

Ford maintained that the campaign’s message, that free trade is vital to North American prosperity, remained valid.

The controversy lands amid already strained economic relations between the two countries. US tariffs on Canadian steel, aluminum, and autos have long frustrated Ottawa, while Washington has accused Canada of unfair trade practices and overreliance on subsidies.

The sudden termination of talks now risks deepening uncertainty for industries that depend on the world’s longest undefended border.

For Canada, where more than 75 percent of exports go to the United States, Trump’s termination of talks carries significant economic consequences. Carney has already hinted that his government will look to diversify export markets if trade cooperation with Washington continues to deteriorate.