Trump Slaps New Tariffs on Canada Amid Reagan Ad Controversy
Former President Donald Trump announced steep tariff increases on Canadian exports—including aluminum, steel, and dairy—after a political ad featuring Ronald Reagan ignited his ire. The move has reignited U.S.-Canada trade tensions, with Ottawa pledging swift retaliation and experts warning of economic fallout.
Why the Reagan Ad Triggered Trump’s Tariff Hike
A Canadian political group aligned with Prime Minister Justin Trudeau’s Liberal Party released an advertisement using Reagan’s pro-trade remarks to advocate for strong bilateral ties. Trump, interpreting the ad as a rebuke of his “America First” agenda, accused Canada of “cheating” U.S. workers.
On social media, Trump declared: “Canada doesn’t get to lecture us on trade while taking advantage of American workers. Reagan was great, but he’d have cracked down on their cheating too.” Within hours, his administration imposed a 10% tariff increase on select Canadian goods, risking supply chain disruptions and higher consumer costs.
Canada’s Strong Response: Retaliation Looms
Deputy Prime Minister Chrystia Freeland condemned the tariffs as “unjustified and harmful,” signaling potential countermeasures. “This is not how allies behave,” she asserted, underscoring Canada’s intent to protect its industries.
The Business Council of Canada warned the tariffs could backfire, hurting integrated sectors like automotive and manufacturing. CEO Goldy Hyder called it a “self-inflicted wound for North American competitiveness.”
Political Fallout Ahead of U.S. Election
With the U.S. election months away, critics accuse Trump of using trade policy to galvanize his base. Canadian opposition leaders, meanwhile, blame Trudeau for provoking the dispute. Trade analyst Laura Dawson noted: “Retaliatory tariffs could hit U.S. swing states—this is risky politics for Trump.”
What Comes Next?
Canada is reportedly weighing a WTO challenge, while U.S. businesses push for exemptions. As both nations dig in, fears of a full-blown trade war grow—potentially ending an era of smooth cross-border trade.
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