Trump Imposes Additional 10% Tariff on Canada Following Dispute Over Reagan Advertisement

US President Donald Trump announced on Saturday an additional 10 percent tariff increase on Canadian goods, escalating tensions following a dispute over a Canadian anti-tariff advertisement featuring former President Ronald Reagan.

The tariff hike comes just two days after Trump declared an end to all trade negotiations with Canada, citing what he described as a "fake" advertising campaign.

"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 stated on his Truth Social platform while en route to Asia for meetings with regional leaders.

He further explained, "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 controversial advertisement from Ontario province featured quotes from Reagan's 1987 radio address on trade policy, in which the former president cautioned about potential negative consequences of high tariffs on foreign imports for the American economy.

The ad quoted Reagan saying that "high tariffs inevitably lead to retaliation by foreign countries and the triggering of fierce trade wars," a statement that corresponds with the transcript available on the Ronald Reagan Presidential Library's website.

On Thursday, the Ronald Reagan Foundation claimed on X that Ontario had used "selective audio and video" and mentioned they were exploring legal options. In response, Ontario officials agreed to remove the controversial advertisement by Monday to facilitate the resumption of negotiations.

Trump's global sectoral tariffs, especially those targeting steel, aluminum, and automotive industries, have significantly impacted Canada, resulting in job losses and creating challenges for businesses.

Currently, the United States and Canada operate under the USMCA trade agreement, which ensures approximately 85 percent of cross-border trade remains free from tariffs in both directions.

During a speech on Wednesday, Canadian Prime Minister Mark Carney remarked that the United States has elevated "its tariffs to levels last seen during the Great Depression."

Carney emphasized, "Our economic strategy needs to change dramatically," adding that this process "will take some sacrifices and some time."

Both Trump and Carney are scheduled to attend a dinner during the Asia-Pacific Economic Cooperation (APEC) meeting in South Korea on Wednesday, though Trump has indicated he has no intention of meeting with the Canadian Prime Minister.

Adding an interesting dimension to this international dispute, baseball's World Series currently features Canada's Toronto Blue Jays competing against the United States' Los Angeles Dodgers. The Blue Jays decisively won the first game on Friday with a score of 11-4.