U.S. President Donald Trump escalated US-Canada trade tensions on October 26, 2025, by announcing a 10% tariff increase on Canadian imports via Truth Social, directly blaming Ontario Premier Doug Ford for not immediately removing a controversial anti-tariff advertisement featuring Ronald Reagan. The ad, which aired during the World Series opener, prompted Trump to halt trade talks on Thursday and layer new duties atop existing ones on steel, aluminum, and more. As Ontario pauses the $75 million campaign effective Monday, Prime Minister Mark Carney signals readiness to resume negotiations, citing prior progress on relief for key sectors. This Trump tariffs on Canada move, announced mid-flight to Malaysia, risks billions in economic fallout. Explore the timeline, quotes, and implications in this Ontario Reagan ad dispute.
The saga unfolded rapidly amid high-stakes trade negotiations and the World Series spotlight.
Trump terminates bilateral trade discussions, citing frustration with Canada's stance. Carney and Ford confer, with the PM expressing a preference to pull the ad for smoother talks. U.S. economic adviser Kevin Hassett voices growing impatience with Canadian "inflexibility." [](grok_render_citation_card_json={"cardIds":["251d26"]})
Ford announces the ad will continue over the weekend, including during Blue Jays-Dodgers games, but pauses Monday onward. The spot airs on major U.S. networks, reaching elite audiences and irking Trump further. Hassett attributes U.S. ire to "leftover behaviors from the Trudeau folks."
En route to the ASEAN summit in Kuala Lumpur, Trump posts on Truth Social from Air Force One, demanding immediate ad removal and announcing the 10% hike as punishment for the "hostile act." Carney, also in Malaysia, reiterates Canada's openness to dialogue.
The 60-second TV spot, part of a $75 million U.S.-targeted campaign, used edited 1980s Reagan footage to warn against protectionism's harms.
Featuring Reagan criticizing tariffs as sparking "trade wars" that hurt American workers and consumers, the ad reordered and shortened his speech for emphasis. While Reagan's full address defended selective tariffs (e.g., on Japan for unfair practices) alongside free trade advocacy, the edit focused on downsides. Aired on Fox News and during World Series Games 1 and 2, it aimed to highlight tariff risks to bilateral economies.
"It reached U.S. audiences at the highest levels," Ford said, defending the campaign's educational intent against Trump's policies. He committed to pausing it Monday "so that trade talks can resume," balancing provincial advocacy with federal diplomacy.
Trump's announcements bypassed official channels, leveraging social media for immediate impact.
“Their Advertisement was to be taken down, IMMEDIATELY, but they let it run last night during the World Series, knowing that it was a FRAUD,” Trump wrote. He followed: “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 are paying now.” The hike targets all imports, stacking on current levies like 50% on steel/aluminum and 25% on autos.
Effective details pending Commerce Department rollout, but it amplifies existing duties (e.g., 45%+ on softwood lumber, upcoming 25% on trucks/pharma/furniture). No exemptions noted, potentially affecting $600+ billion in annual Canadian exports.
Canadian leaders emphasized de-escalation, while industry voices decried the move.
“We can’t control the trade policy of the United States,” Carney stated, highlighting “detailed and constructive progress” on steel, aluminum, and energy relief. “We stand ready to pick up on that progress ... when the Americans are ready ... for the benefit of workers.” He prefers pausing the ad to refocus on mutual gains.
Ford's pause aims to "facilitate talks," but auto parts CEO Flavio Volpe slammed the tariffs as “unprovoked and unwarranted,” warning of billions in U.S. taxpayer costs and higher consumer prices. Hassett countered: “The President’s frustration has built up ... the Canadians have been very difficult.”
The Doug Ford ad controversy threatens integrated supply chains under USMCA.
Volpe predicts the 10% levy will inflate U.S. prices, burdening taxpayers with billions. Canada's 75% U.S.-bound exports (oil, autos) face amplified costs, potentially shaving GDP by 0.5-1% if prolonged.
Existing tariffs already strain sectors; new ones could disrupt EV batteries and lumber, echoing 2018's $16 billion Canadian retaliation. Carney's noted progress on energy/steel relief offers hope, but escalation risks WTO challenges.
US-Canada ties, bound by free trade, have weathered Trump's sectoral tariffs since 2018, justified under "national security." Reagan's speech—defending targeted duties while decrying broad protectionism—ironically fuels the ad's critique, mirroring Smoot-Hawley-era fears.
Ontario's Monday pause paves the way; Carney eyes APEC in South Korea for resumption. Potential carve-outs for energy could de-escalate, but unresolved digital taxes linger.
Trump's 10% tariff over the Ontario Reagan ad blends pettiness with policy, testing USMCA resilience. With Carney's olive branch and Ford's concession, resolution seems plausible—but at what cost to North American workers?
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