Reagan's "resurrection" to criticize tariffs? Ad angers Trump, US-Canada trade talks terminated!
2025-10-24 16:36:38
U.S. President Trump announced on Thursday (October 23) that he would terminate all trade negotiations with Canada due to the position of the Ontario government.
He previously called an ad from Canada that featured the late former U.S. President Ronald Reagan making negative comments about tariffs fake.
In his statement, Trump accused Canada of trying to influence a pending U.S. Supreme Court case that could invalidate several of his tariff policies, including those on Canada.
His statement came after the Ronald Reagan Presidential Foundation and Institute pointed out that the ad misrepresented President Reagan's April 1987 radio address and included unauthorized editing of his remarks.
The foundation did not specify where the misleading allegations were made, but it encouraged the public to watch the unedited version of the speech on its YouTube channel and said it was evaluating legal options.
"The Reagan Foundation just exposed Canada's fraudulent use of doctored ads - even going so far as to forge Reagan's comments against tariffs," Trump wrote on his Truth Social platform. "This is a pure attempt to interfere with the decisions of the U.S. Supreme Court and other judicial bodies."
Trump emphasized in his statement: "Tariff policy is related to the national security and economic lifeline of the United States! In view of Canada's bad behavior, I now announce the immediate termination of all trade negotiations with Canada."
Ontario Premier Doug Ford announced on October 14 that the province would invest $75 million in advertisements in the United States showing images of Reagan criticizing the tariff policy.
Ford, who calls himself a "loyal Reagan fan," emphasized: "We will continue to deliver this message to every Republican constituency across the United States."
Ford released the ad on social media platform X on October 16. The ad features images of American nature, families, and workplaces, with Reagan's words ringing out: "When some advocate imposing tariffs on foreign imports, it may appear as a patriotic gesture to protect American products and jobs. Such measures may be effective in the short term, but they are short-lived. In the long run, these trade barriers will ultimately harm every American worker and consumer."
Ontario Premier Doug Ford said Tuesday that the anti-tariff ad, which features Republican Regan criticizing tariffs on foreign goods and citing the resulting job losses and trade conflicts, caught Trump's attention.
"I heard the president saw our ad," Ford said. "I'm sure he wasn't too happy about it."
Trump, who has made tariff policy the core governing strategy of his second term, has announced the termination of trade negotiations with Canada for the second time recently.
Earlier on June 27, in response to Ottawa's decision to impose a digital services tax on American technology companies, he declared that the United States would "terminate all trade negotiations with Canada."
Trump has used tariffs as a tool to pressure countries around the world. His trade war has raised U.S. tariffs to their highest level since the 1930s, and he frequently threatens more tariffs, raising concerns among businesses and economists.
Canadian Prime Minister Mark Carney told reporters on Thursday that Canada will not allow the United States to access its market unfairly if negotiations on multiple trade deals with Washington fail.
Trump imposed tariffs on Canadian steel, aluminum and auto products earlier this year, prompting Canada to retaliate. The two sides have been negotiating for weeks on a potential deal in the steel and aluminum sectors.
Next year, the United States, Canada and Mexico will review the North American Free Trade Agreement signed in 2020.
A direct and unequivocal bearish view on the Canadian dollar: The Canadian dollar is under pressure from direct trade and economic shocks.
It is positive for the US dollar in the short term but negative in the long term: in the short term, the safe-haven property of the US dollar prevails and it may strengthen; but in the long term, the backlash effect of protectionist policies on the US economy itself and the increase in policy uncertainty will damage the foundation of the US dollar.
On Friday, the U.S. dollar index continued its upward trend from the previous trading day, rising by about 0.1% to 99.02. The U.S. dollar against the Canadian dollar recovered most of the losses from the previous two trading days, fluctuating and strengthening, rising by about 0.19%.
Escalation of global trade tensions: As a dispute between the United States and its close allies, it will amplify market concerns about "deglobalization", increase overall market risk aversion, and benefit safe-haven assets.
Ultimately, how the foreign exchange market moves will depend on how long the dispute lasts, whether it escalates into an actual tariff war, and how Canada and other trading partners respond.
At 16:26 Beijing time, the US dollar was trading at 1.4017/18 against the Canadian dollar.
He previously called an ad from Canada that featured the late former U.S. President Ronald Reagan making negative comments about tariffs fake.
US foundation exposes ad manipulation scandal
In his statement, Trump accused Canada of trying to influence a pending U.S. Supreme Court case that could invalidate several of his tariff policies, including those on Canada.
His statement came after the Ronald Reagan Presidential Foundation and Institute pointed out that the ad misrepresented President Reagan's April 1987 radio address and included unauthorized editing of his remarks.
The foundation did not specify where the misleading allegations were made, but it encouraged the public to watch the unedited version of the speech on its YouTube channel and said it was evaluating legal options.
"The Reagan Foundation just exposed Canada's fraudulent use of doctored ads - even going so far as to forge Reagan's comments against tariffs," Trump wrote on his Truth Social platform. "This is a pure attempt to interfere with the decisions of the U.S. Supreme Court and other judicial bodies."
Trump emphasized in his statement: "Tariff policy is related to the national security and economic lifeline of the United States! In view of Canada's bad behavior, I now announce the immediate termination of all trade negotiations with Canada."
Ontario spends heavily on anti-tariff advertising, Ford admits Trump has seen it
Ontario Premier Doug Ford announced on October 14 that the province would invest $75 million in advertisements in the United States showing images of Reagan criticizing the tariff policy.
Ford, who calls himself a "loyal Reagan fan," emphasized: "We will continue to deliver this message to every Republican constituency across the United States."
Ford released the ad on social media platform X on October 16. The ad features images of American nature, families, and workplaces, with Reagan's words ringing out: "When some advocate imposing tariffs on foreign imports, it may appear as a patriotic gesture to protect American products and jobs. Such measures may be effective in the short term, but they are short-lived. In the long run, these trade barriers will ultimately harm every American worker and consumer."
Ontario Premier Doug Ford said Tuesday that the anti-tariff ad, which features Republican Regan criticizing tariffs on foreign goods and citing the resulting job losses and trade conflicts, caught Trump's attention.
"I heard the president saw our ad," Ford said. "I'm sure he wasn't too happy about it."
Trump, who has made tariff policy the core governing strategy of his second term, has announced the termination of trade negotiations with Canada for the second time recently.
Earlier on June 27, in response to Ottawa's decision to impose a digital services tax on American technology companies, he declared that the United States would "terminate all trade negotiations with Canada."
Trump uses tariffs as leverage
Trump has used tariffs as a tool to pressure countries around the world. His trade war has raised U.S. tariffs to their highest level since the 1930s, and he frequently threatens more tariffs, raising concerns among businesses and economists.
Canadian Prime Minister Mark Carney told reporters on Thursday that Canada will not allow the United States to access its market unfairly if negotiations on multiple trade deals with Washington fail.
Trump imposed tariffs on Canadian steel, aluminum and auto products earlier this year, prompting Canada to retaliate. The two sides have been negotiating for weeks on a potential deal in the steel and aluminum sectors.
Next year, the United States, Canada and Mexico will review the North American Free Trade Agreement signed in 2020.
Impact on the foreign exchange market
A direct and unequivocal bearish view on the Canadian dollar: The Canadian dollar is under pressure from direct trade and economic shocks.
It is positive for the US dollar in the short term but negative in the long term: in the short term, the safe-haven property of the US dollar prevails and it may strengthen; but in the long term, the backlash effect of protectionist policies on the US economy itself and the increase in policy uncertainty will damage the foundation of the US dollar.
On Friday, the U.S. dollar index continued its upward trend from the previous trading day, rising by about 0.1% to 99.02. The U.S. dollar against the Canadian dollar recovered most of the losses from the previous two trading days, fluctuating and strengthening, rising by about 0.19%.
Escalation of global trade tensions: As a dispute between the United States and its close allies, it will amplify market concerns about "deglobalization", increase overall market risk aversion, and benefit safe-haven assets.
Ultimately, how the foreign exchange market moves will depend on how long the dispute lasts, whether it escalates into an actual tariff war, and how Canada and other trading partners respond.
At 16:26 Beijing time, the US dollar was trading at 1.4017/18 against the Canadian dollar.
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