Canadian Prime Minister Mark Carney announced that Canada is ready to restart trade negotiations with the United States “as soon as the Americans are ready.”
This statement comes after U.S. President Donald Trump abruptly ended trade talks following the release of an advertisement critical of tariffs imposed by his administration. The ad, sponsored by Ontario province, quoted Ronald Reagan warning that “tariffs harm every American.” Trump condemned the video on social media as “fake” and “disgraceful” and declared that trade talks were terminated.
The Trump administration has imposed a 35% tariff on various Canadian products, including key sectors like automobiles and steel, heavily affecting Ontario. While some exemptions remain under the USMCA free trade agreement, Carney is seeking a new deal to reduce tariffs, noting that about three-quarters of Canadian exports go to the U.S., making the Canadian economy heavily dependent on the American market.
Ontario Premier Doug Ford, a vocal critic of U.S. trade policies, has further complicated negotiations. The Ronald Reagan Foundation also criticized the ad for misusing archival material without permission, claiming it misrepresented Reagan’s stance on free trade. Trump cited this response, alleging the ad was a deliberate attempt to influence an upcoming U.S. Supreme Court ruling on tariff legality.
Carney emphasized Canada is also pursuing new partnerships in Asian markets, signaling a broader diversification strategy. Meanwhile, tensions between Ottawa and Washington remain high after previous trade disputes, including a suspension of talks earlier this year over a planned digital services tax.
