Carney Says Canada Will Wait for US to Reopen Trade Negotiations
Canadian Prime Minister Mark Carney has said that Canada remains open to resuming trade discussions with the United States whenever Washington is prepared to return to the table. His statement followed President Donald Trump’s abrupt decision to terminate trade talks after a controversial advertisement aired in the US criticizing American tariffs on Canadian goods.
Speaking to reporters before departing for the ASEAN Summit in Kuala Lumpur, Carney said that Canada had “made significant progress” in its negotiations with the US but would wait until “the Americans are ready” to continue. He also emphasized that Canada was exploring new trade partnerships in Asia to reduce its reliance on the American market.
Trump Ends Talks After Ontario’s Anti-Tariff Advertisement
Tensions between Ottawa and Washington escalated earlier this week when President Trump announced an immediate end to trade talks in response to a televised advert funded by the Ontario provincial government. The minute-long video featured the late President Ronald Reagan’s voice warning against the dangers of tariffs.
In the ad, Reagan is heard saying, “High tariffs inevitably lead to retaliation by foreign countries and fierce trade wars,” concluding that such measures “hurt every American worker and consumer.”
The advertisement’s message directly challenged Trump’s 35% tariff on Canadian imports and his sector-specific levies on steel, aluminium, and automobiles — policies that have hit Canada’s industrial provinces especially hard.
Calling the video “FAKE” and “egregious,” Trump wrote on social media that the commercial misused Reagan’s words and was designed to “interfere with” an upcoming US Supreme Court ruling on the legality of his sweeping trade tariffs. The president then declared that negotiations were “HEREBY TERMINATED.”
Reagan Foundation Says Video Was Misleading
The Ronald Reagan Presidential Foundation criticized the Ontario government for using excerpts from Reagan’s 1987 Address to the Nation on Free and Fair Trade without permission.
In a statement, the foundation said the video “misrepresents the former president’s message” and confirmed it was reviewing legal options.
The ad rearranged sections of Reagan’s original speech — which defended limited, temporary tariffs on certain Japanese goods — to emphasize his opposition to trade barriers in general.
While the foundation said the editing altered context, Ontario Premier Doug Ford defended the ad, saying it reflected Reagan’s enduring belief that “free trade makes both nations stronger.”
Ontario Premier Doug Ford Defends Campaign
Premier Ford, one of Trump’s most vocal Canadian critics, launched the $75 million campaign to highlight the economic harm caused by US tariffs.
He reposted the full version of Reagan’s 1987 address on X (formerly Twitter), writing:
“Canada and the United States are friends, neighbours, and allies. President Reagan knew we are stronger together.”
Ford has repeatedly condemned Washington’s protectionist policies, accusing Trump of “pulling a knife and yanking it into us.” He has also warned that continued tariffs could trigger retaliatory energy measures, including restricting power exports to the US.
Ontario, Canada’s most populous province and economic hub, has suffered the worst effects of the American trade measures. The province’s automotive and steel industries have been especially hard-hit, leading to job losses and factory slowdowns.
US Officials Defend Trade Stance Amid Rising Frustrations
Responding to growing criticism, White House economic adviser Kevin Hassett said frustration with Canada had “built up over time.” Speaking to reporters, he explained that Trump’s decision to pause talks was not permanent but “a time-out.”
“Sometimes when you’re frustrated, a break is the right call,” Hassett told Fox Business, suggesting negotiations might resume after both sides “cool off.”
Trump, meanwhile, doubled down on social media, insisting that “Reagan loved tariffs for our country’s national security” and accused Canadian officials of twisting the late president’s words for political purposes.
Trade Dispute Puts Canada in a Difficult Position
The US remains Canada’s largest trading partner, purchasing nearly three-quarters of Canadian exports. The renewed tariffs have placed immense pressure on the Canadian economy, forcing Ottawa to look for alternative trade routes and strengthen ties with partners in Asia-Pacific and Europe.
Carney’s government has sought to diversify exports and reduce dependence on the US by engaging with ASEAN nations and expanding participation in the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).
Despite rising tensions, Carney reiterated that Canada prefers cooperation over confrontation, saying that “our economies are deeply integrated, and both nations benefit when trade flows freely.”
International Reactions and Economic Implications
Global observers have expressed concern over the latest trade rift between the two North American allies. Analysts warn that prolonged uncertainty could disrupt cross-border supply chains and further strain industries already weakened by global economic volatility.
China’s embassy in Washington also drew attention after it used a similar Reagan clip earlier this year to criticize Trump’s tariffs on Chinese goods, suggesting that Reagan’s free-trade philosophy continues to shape global discourse decades later.
As both leaders prepare to attend the ASEAN Summit, political analysts suggest the meeting could offer an opportunity for informal dialogue between Carney and Trump.
However, for now, Canada says it will wait patiently for Washington to decide when — or if — trade talks will resume.
