In a significant move, US President Donald Trump announced an increase in tariffs on goods imported from Canada. This decision comes in response to an anti-tariff advertisement aired by the province of Ontario, featuring former President Ronald Reagan. In a recent social media post, Trump condemned the advertisement as a "fraud" and criticized Canadian officials for not removing it before the World Series baseball championship.
Trump's announcement included a call for a 10% increase in tariffs on Canadian goods, in addition to existing tariffs. He stated, "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." This escalation follows Trump's withdrawal from trade negotiations with Canada earlier in the week.
In response, Ontario Premier Doug Ford stated on Friday that he would pause the province's anti-tariff advertisement campaign in the US. This decision was made after discussions with Prime Minister Mark Carney, with the intention of resuming trade talks. However, Ford confirmed that the advertisement would still air over the weekend, coinciding with the World Series games featuring the Toronto Blue Jays against the Los Angeles Dodgers.
Canada stands as the only G7 nation that has not finalized a trade deal with the US since Trump initiated his push for steep tariffs on major trading partners. Currently, the US imposes a 35% levy on all Canadian goods, although most items are exempt due to an existing free trade agreement. Additionally, the US has implemented sector-specific tariffs, including a 50% levy on metals and 25% on automobiles.
Trump's recent post, sent while traveling to Asia, indicated that he was adding 10 percentage points to these existing tariffs, further straining US-Canada trade relations. Notably, approximately three-quarters of Canadian exports are directed to the US, and Ontario serves as the hub for Canada's automobile manufacturing.
The controversial advertisement funded by the Ontario government features a quote from Ronald Reagan, asserting that tariffs harm every American. It utilizes excerpts from a 1987 national radio address focused on foreign trade. The Ronald Reagan Foundation, responsible for preserving the former president's legacy, criticized the advertisement for its selective use of audio and video, claiming it misrepresented Reagan's message. The foundation also noted that the Ontario government did not seek permission to use the content.
In his post on Truth Social, Trump emphasized that the advertisement should have been removed promptly, stating, "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." While flying to Malaysia, he expressed his discontent over the matter.
Ford had previously committed to airing the Reagan advertisement in every Republican-led district in the US. Both Trump and Carney are expected to attend the Association of Southeast Asian Nations summit in Malaysia, although Trump has indicated he does not plan to meet with his Canadian counterpart during the trip. Moreover, Trump accused Canada of trying to influence an upcoming US Supreme Court case that could potentially overturn his entire tariff regime.
This Supreme Court case, set to be heard next month, will address the constitutionality of the tariffs. Trump has labeled the advertisement as an attempt to interfere with "THE MOST IMPORTANT CASE EVER." The ongoing tensions between the US and Canada continue to escalate, with the Reagan advertisement being just one of the strategies employed by Ontario to criticize Trump's tariffs.
Interestingly, the Ontario government is utilizing the World Series as a platform to voice its criticisms of Trump's tariffs. In a lighthearted video posted on Friday, Premier Ford and California Governor Gavin Newsom jokingly made bets on the game's outcome. The two leaders humorously referenced tariffs, with Ford pledging to send Newsom a can of maple syrup if the LA Dodgers emerged victorious. Ford remarked, "The tariff might cost me a few extra bucks at the border these days, but it'll be worth it." In turn, Newsom requested the resumption of American-produced alcohol sales in Ontario's liquor stores and offered to send California's championship-worthy wine if the Blue Jays win.
Both leaders concluded their playful exchange with cheers for a thrilling World Series and a "tariff-free friendship" between Ontario and California, illustrating the complex and multifaceted nature of trade relations amidst ongoing political tensions.