US President Donald Trump has announced a significant escalation in trade tensions with Canada, declaring a 10% increase in tariffs on goods imported from the northern neighbor. The decision comes in direct response to the Canadian province of Ontario airing an anti-tariff advertisement featuring former President Ronald Reagan during the World Series baseball championship, which Trump branded as a 'fraud, while ' In a social media post on Saturday, Trump lashed out at Canadian officials for not removing the advert, stating, "Because of their serious misrepresentation of the facts, and hostile act, I am increasing the Tariff on Canada by 10% over and above what they're paying now.
The Controversial Reagan Advert
The advertisement, sponsored by the Ontario government, quotes former US President Ronald Reagan, a Republican icon, saying tariffs "hurt every American, while " It draws excerpts from a 1987 national radio address that focused on foreign trade. However, the Ronald Reagan Foundation, tasked with preserving the former president's legacy, criticized the advert for using "selective" audio and video, asserting it misrepresented Reagan's address. The Foundation also highlighted that the Ontario government had not sought permission to use the footage, while trump, in his Truth Social post, emphasized that the advert should have been pulled down immediately, especially after running during the World Series, which he called a 'FRAUD'.
Escalating Trade Tensions
This new tariff hike adds to existing levies. The US had already imposed a 35% levy on all Canadian goods, though most are exempt under an existing free trade agreement. Also, sector-specific levies, including a 50% on metals and 25% on automobiles, are in place. Trump's latest announcement implies an additional 10 percentage points on these existing taxes. Canada sends three-quarters of its exports to the US, and Ontario is home to. The bulk of Canada's automobile manufacturing, making this tariff increase potentially impactful on their economy.
Ontario's Stance and Future of Talks
Ontario Premier Doug Ford had stated on Friday that he would pause his province's anti-tariff advertisement campaign in the US after discussions with Prime Minister Mark Carney, with the aim of resuming trade talks. However, he also confirmed it would still run over the weekend, including during games for the World Series, which features the Toronto Blue Jays against the Los Angeles Dodgers, while trump's latest move follows his withdrawal from trade talks with Canada on Thursday, further complicating the already strained relationship. Canada remains the only G7 country that has not reached a new trade agreement with. The US since Trump began seeking to charge steep tariffs on goods from major trading partners.
Supreme Court Case and Canadian Response
In his post, Trump also accused Canada of attempting to manipulate an upcoming US Supreme Court case that could potentially end his entire tariff regime. This crucial case, to be heard by the highest US. Court next month, will determine the constitutionality of the tariffs. Trump had previously posted that the advert was designed to "interfere" with "THE MOST IMPORTANT CASE EVER. " Responding to the tariff hike, the Canadian Chamber of Commerce expressed hope that "this threat of escalation can be resolved through diplomatic channels and further negotiation. " Candace Laing, the organization's CEO, stated to the BBC, "Tariffs at any level remain a tax on America first, then North American competitiveness as a whole.
World Series Used as a Platform
The Reagan ad isn't the only way Ontario, home of the Toronto Blue Jays, is using the World Series as a platform to criticize Trump's tariffs, while in a video posted on Friday, Premier Ford and California Governor Gavin Newsom playfully made bets on the series outcome, jokingly incorporating tariffs. Ford pledged to send Newsom a can of maple syrup if the LA Dodgers won, quipping, "The tariff might cost me a few extra bucks at the border these days, but it'll be worth it. " Newsom, in turn, asked Ford to resume allowing American-produced alcohol in Ontario liquor stores and promised "California's championship-worthy wine" if the Blue Jays triumphed. They concluded their exchange with a shared toast: "Here's to a! Great World Series, and a tariff-free friendship between Ontario and California! " This lighthearted exchange highlights the persistent underlying trade friction despite the diplomatic rhetoric.
