Trump halts Canada trade talks after controversial TV ad
President Trump announced on social media that he’s ending all trade talks with Canada, calling recent anti-tariff TV ads “egregious behavior” intended to influence U.S. court decisions.
In a dramatic late-night announcement on Thursday, October 24, 2025, former U.S. President Donald Trump declared that he is ending “all trade negotiations” with Canada, blaming what he described as a “fraudulent and misleading” television advertisement produced by the government of Ontario. The ad, which criticized U.S. tariffs, allegedly featured a manipulated version of Ronald Reagan’s 1987 radio address on trade — a move that Trump called “egregious behavior” and an attempt to sway U.S. court decisions.
Trump made the declaration on his social media platform, Truth Social, writing in his trademark capitalized style that the ad represented an attack on American economic integrity. “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. “The ad was for $75,000. They only did this to interfere with the decision of the U.S. Supreme Court, and other courts.”
He went on to justify his stance by saying that tariffs are crucial to the United States’ national security and economic strength, concluding emphatically: “Based on their egregious behavior, ALL TRADE NEGOTIATIONS WITH CANADA ARE HEREBY TERMINATED.”
The post came just hours after Canadian Prime Minister Mark Carney made remarks about diversifying Canada’s trade relationships. Carney stated that his government would seek to double exports to non-U.S. markets in response to what he called the “increasing unpredictability of American trade policies” under Trump. His comments hinted at growing frustration in Ottawa over Washington’s tariff threats, which have disrupted North American trade discussions for months.
The controversy began when the Ronald Reagan Presidential Foundation & Institute publicly rebuked Ontario for allegedly misusing Reagan’s 1987 remarks about “Free and Fair Trade.” In a statement posted on X (formerly Twitter), the Foundation clarified that Ontario did not have permission to use or alter Reagan’s address, saying, “The advertisement misrepresents the ‘Presidential Radio Address to the Nation on Free and Fair Trade’ dated April 25, 1987.”
The Foundation further emphasized that any unauthorized use of Reagan’s image or voice is “inconsistent with the values and mission of the Reagan Foundation.” The statement drew swift attention across both sides of the border, prompting intense debate about political advertising ethics and the limits of creative license in international messaging.
The Ontario government has not yet officially responded to Trump’s allegations, but Canadian media reports suggest that the ad was intended to highlight perceived inconsistencies in American trade policy — particularly how tariffs on steel, lumber, and agriculture have hurt Canadian industries. The ad featured clips of Reagan warning against protectionism, followed by footage of modern U.S. tariff policies, implicitly criticizing Trump’s trade approach.
Analysts say Trump’s decision to end negotiations could have major economic repercussions, given the depth of the U.S.-Canada trade relationship. Over three-quarters of Canadian exports go to the U.S., and nearly $3.6 billion Canadian (US$2.7 billion) worth of goods and services cross the border each day. Industries such as automotive manufacturing, energy, and agriculture could be particularly affected if the freeze persists.
Economists on both sides warn that this could reignite a trade rift reminiscent of the early years of Trump’s presidency, when tariff battles over aluminum and dairy products created tension across North America. Some observers, however, see Trump’s move as more symbolic — a show of political strength aimed at energizing his base during a time of renewed economic debate in Washington.
For now, trade talks between the U.S. and Canada appear to be on indefinite hold. What began as a dispute over a $75,000 advertisement has quickly escalated into a diplomatic standoff between two of the world’s closest allies — underscoring once again how fragile the politics of trade can be in the Trump era.