Ahmed Kamel – Egypt Daily News
President Donald Trump announced that he is terminating ongoing trade negotiations with Canada, citing what he described as a “misleading and hostile” television advertisement produced in Ontario that criticized U.S. tariff policies.
“TARIFFS ARE VERY IMPORTANT TO THE NATIONAL SECURITY, AND ECONOMY, OF THE U.S.A. Based on their egregious behavior, ALL TRADE NEGOTIATIONS WITH CANADA ARE HEREBY TERMINATED,” Trump wrote on his social media platform Friday morning, signaling a sharp escalation in tensions between the two longtime allies.
The advertisement at the center of the dispute was launched earlier this month by the government of Ontario. It featured audio excerpts from a 1987 address by then-President Ronald Reagan, who at the time was warning about the economic dangers of escalating tariffs amid trade frictions with Japan. The ad juxtaposed Reagan’s cautionary remarks with footage of Trump announcing new tariff measures, appearing to draw an unflattering comparison between the two Republican presidents.
The Ronald Reagan Presidential Foundation & Institute responded publicly to the controversy, accusing Ontario officials of taking Reagan’s words out of context. In a statement released Thursday evening, the foundation said the campaign used “selective audio and video” that “misrepresents” Reagan’s message and intent.
Trump seized on the ad as evidence of what he called Canadian interference in U.S. domestic affairs. “They only did this to interfere with the decision of the U.S. Supreme Court, and other courts,” he wrote, referring to an upcoming high-stakes case that could redefine presidential authority over trade.
The Supreme Court is expected to rule later this term on whether Trump’s global “reciprocal tariff” policy, under which he imposed sweeping duties on imports from multiple nations constitutes an unconstitutional use of emergency powers. A ruling against Trump could force the government to refund tens of billions of dollars collected from U.S. importers and consumers.
The timing of Trump’s announcement is particularly striking, as it comes just weeks after he appeared optimistic about a breakthrough in bilateral talks. During a meeting at the White House earlier this month with Canadian Prime Minister Mark Carney, Trump praised the progress made in negotiations, saying both sides had “come a long way” toward a potential trade agreement.
But relations began to sour in July, when Trump imposed a 35% tariff on most goods and raw materials imported from Canada, a move that Ottawa condemned as “punitive and unjustified.” Canadian officials had hoped that ongoing discussions might lead to a reduction or restructuring of those tariffs.
Now, with the trade talks officially suspended and political rhetoric intensifying on both sides of the border, the prospect of a U.S.-Canada trade deal appears increasingly remote.
Analysts say the fallout could have significant economic consequences for both nations, whose economies remain tightly intertwined through decades of trade integration. “This dispute goes beyond a single ad, it speaks to a breakdown of trust,” said one Washington-based trade expert. “Once you start weaponizing communication campaigns, it becomes much harder to rebuild the kind of good-faith negotiations needed to reach an agreement.”
As the diplomatic rift widens, attention will turn to how Canada responds and whether the termination of talks marks a temporary political gesture or a lasting rupture in one of the world’s most important trading relationships.
