Trump Ends US-Canada Trade Talks

President Donald Trump announced on Truth Social he was terminating all trade negotiations with Canada after Ontario‑funded anti‑tariff advertisements used audio of Ronald Reagan. Trump and the Reagan Foundation called the ads fraudulent and intended to influence U.S. courts; outlets reported the ad buy was about $75,000 and the spots ran on major U.S. networks, including during an MLB playoff game with millions of viewers. He defended tariffs as vital to U.S. national security and the economy and described Canada’s actions as “egregious behavior,” escalating bilateral tensions. Markets reacted immediately, with the Canadian dollar under pressure and ING warning the move raises near‑term upside risks for USD/CAD and could increase the odds of another Bank of Canada rate cut. Commentators and economists warned the decision risks a protracted trade conflict that could disrupt integrated U.S.-Canada supply chains, notably autos, and has prompted Canadian officials to seek export diversification. The situation is developing as governments, courts and markets assess the diplomatic and economic fallout.