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President Donald Trump said late Thursday that he was ending “all trade negotiations” with Canada after accusing the country of using a fake Ronald Reagan video in an anti-tariff advertisement — an action he called “egregious behavior” meant to influence U.S. court decisions.
Trump’s post on his social media site came hours after Canadian Prime Minister Mark Carney said he planned to double his country’s exports to non-U.S. markets in response to Trump’s tariff policies. The move by Trump threatens to further strain the already tense economic relationship between the two allies.
“The Ronald Reagan Foundation has just announced that Canada has fraudulently used an advertisement, which is FAKE, featuring Ronald Reagan speaking negatively about tariffs,” Trump wrote. “They only did this to interfere with the decision of the U.S. Supreme Court, and other courts. Based on their egregious behavior, ALL TRADE NEGOTIATIONS WITH CANADA ARE HEREBY TERMINATED.”
The abrupt announcement casts new uncertainty over the future of North American trade, particularly as the U.S., Canada, and Mexico prepare for a scheduled review of the U.S.-Mexico-Canada Agreement (USMCA), a trade deal Trump negotiated during his first term but has since criticized.
Reagan Foundation disputes use of 1987 remarks
Earlier Thursday, the Ronald Reagan Presidential Foundation and Institute said in a post on X that an ad created by Ontario’s government “misrepresents the ‘Presidential Radio Address to the Nation on Free and Fair Trade’ dated April 25, 1987.” The foundation added that Ontario never received permission “to use and edit the remarks” and said it was “reviewing legal options.”
The foundation invited the public to watch Reagan’s original address, which promoted free trade principles but did not reference tariffs or Canada.
Carney’s office did not immediately respond to requests for comment. He is set to depart for an economic summit in Asia on Friday. Trump is scheduled to leave later that evening for the same gathering.
Ontario ad sparks cross-border backlash
Ontario Premier Doug Ford promoted the ad last week, calling it part of a new campaign to oppose U.S. tariffs. “Using every tool we have, we’ll never stop making the case against American tariffs on Canada,” Ford wrote on X.
Trump told reporters earlier this week that he had seen the ad on television, claiming it proved that his tariffs were having an impact. “If I was Canada, I’d take that same ad also,” he said.
The president has imposed steep tariffs on a range of Canadian goods this year, citing national security and economic protectionism. In April, Canada retaliated with levies on U.S. products but allowed limited exemptions — or remission quotas — for certain automakers.
Canada’s auto sector, heavily concentrated in Ontario, has been among the hardest hit. Stellantis announced this month that it would move one production line from Ontario to Illinois because of the ongoing trade friction.
