Speaking to reporters in Gyeongju, South Korea, Carney said,
“I apologised to President Trump. He was upset.”
He added that trade talks between the two countries will resume once Washington is ready.
The controversial ad, reportedly run by the Ontario provincial government, featured Reagan’s remarks portraying tariffs as harmful to Americans. The ad infuriated Trump, who responded by imposing an additional 10% tariff on Canadian goods and suspending bilateral trade negotiations.
With the latest increase, US tariffs on Canadian goods have risen from 35% to 45%, now among the highest globally — after India and Brazil.
Trump’s response
A day after the ad aired, President Trump took to social media, saying:
“Canada has been caught red-handed, running a fake advertisement about Ronald Reagan’s speech on tariffs. Reagan loved tariffs for national security and economic purposes, but Canada claimed he didn’t.”
He further accused Ottawa of deliberately letting the ad run during the World Series, calling it “a fraud.”
“Canada should have pulled the ad immediately — they knew it was false,” Trump wrote.
The White House has yet to clarify under which legal authority the new 10% tariff will be implemented or when it will take effect.
Future of US–Canada trade relations
While Trump said the US is satisfied with the current trade framework, Carney stressed that Canada remains open to dialogue whenever Washington decides to re-engage.
“After all the noise this week, Canada still has the best trade deal of any country with the US,” Carney remarked.
“And we stand ready to negotiate an even better one for both nations.”
Despite the diplomatic tension, Carney maintained that Ottawa values its partnership with Washington and is hopeful for a constructive resolution once talks resume.
