Trump Ends Canada Trade Talks After “Fake” Reagan Ad Controversy

Late Thursday evening, President Donald Trump announced the suspension of all trade negotiations with Canada after an ad surfaced using the late President Ronald Reagan’s voice to criticize U.S. tariffs.

The commercial, funded by Ontario’s provincial government, sparked a wave of backlash in both Washington and Ottawa—prompting an immediate response from Trump and the Reagan Foundation.

The “Fake” Reagan Ad Controversy

The 60-second ad featured Reagan’s voice appearing to speak against tariffs. Trump quickly called it “fake” and accused Canada of misusing the late president’s words.

“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 posted on Truth Social. “Based on their egregious behavior, ALL TRADE NEGOTIATIONS WITH CANADA ARE HEREBY TERMINATED.”

Instagram | hindustantimes | Trump halted trade talks with Canada after an ad criticizing U.S. tariffs surfaced using Reagan’s voice.

The Ronald Reagan Presidential Foundation responded within hours. It said the ad misrepresents Reagan’s 1987 radio address about fair trade. The foundation also confirmed that Ontario did not ask for permission to use or edit the recording and is considering legal action.

Canada’s Reaction

Ontario Premier Doug Ford had predicted the president would not be happy about the ad. Still, a spokesperson for Ford defended it, saying it uses “an unedited excerpt from one of President Reagan’s public addresses, available in the public domain.”

Prime Minister Mark Carney’s office and Trade Minister Dominic LeBlanc declined to comment Thursday night. They plan to respond later, once internal discussions are complete.

Carney, in a recent interview, explained that Reagan’s words about tariffs remain true today.

“The quote of former President Ronald Reagan was recognizing that ultimately somebody pays the tariff — and it’s the consumer,” he said.

Tariffs and Trade Tensions

Trump’s administration has imposed steep tariffs on Canadian steel, aluminum, lumber, copper, and auto parts. He has also suggested reopening the United States–Mexico–Canada Agreement (USMCA) or even leaving it entirely.

Carney, a former central bank governor in both Canada and the U.K., said removing tariffs benefits both sides:

“If trading partners are acting fairly, it’s always better not to have tariffs between those countries.”

He acknowledged the White House’s firm stance. “I don’t agree with their policy, but I recognize that is their policy, and I don’t expect it to change,” Carney said.

What Sparked the Fallout

This is not the first time Trump has paused trade discussions with Canada. In June, he halted talks over Canada’s Digital Services Tax, which targeted tech giants like Amazon and Google. Negotiations only resumed after the tax was dropped.

Trade Minister Dominic LeBlanc was scheduled to meet U.S. Commerce Secretary Howard Lutnick this week. It remains unclear whether that meeting took place before Trump’s announcement.

Reagan’s Original Message

Instagram | fordnationdougford | Ford said the new Ontario ad would air widely in the U.S., from D.C. to every single Republican district nationwide.

Reagan’s 1987 radio address warned about the long-term risks of tariffs and protectionist policies.

“High tariffs inevitably lead to retaliation by foreign countries and the triggering of fierce trade wars. Then the worst happens — markets shrink, businesses close, and millions lose their jobs.”

Interestingly, China’s embassy in Washington used the same Reagan quote in 2018 to criticize Trump’s global tariff policies.

Premier Ford said Ontario’s ad was meant to air widely in the U.S., including in Washington, D.C., and during Toronto Blue Jays games. “We’re going to repeat that message to every Republican district right across the entire country,” Ford said before the ad launch.

Global Stage and Light Moments

Both Trump and Carney are expected to attend upcoming international summits in Malaysia and South Korea for ASEAN and APEC. It’s unclear if they will meet there.

Carney joked earlier Thursday that he had tried to call Trump to place a friendly bet on the World Series between the Toronto Blue Jays and the Los Angeles Dodgers. “He hasn’t returned my call yet on the bet,” Carney said with a smile.

White House Press Secretary Karoline Leavitt told reporters that “President Trump isn’t a big gambler.”

Trump’s sudden decision has put new pressure on the long-running trade relationship between the U.S. and Canada. What began as a simple local ad has now turned into a major dispute involving legal issues, trade policy, and even Ronald Reagan’s legacy.

The Reagan Foundation is reviewing possible legal action, while Canada is deciding how to respond. For now, trade talks are on hold — and a single political ad has sparked a serious international clash.