Trump wrote, 'The Ronald Reagan Foundation stated that Canada misused Reagan's fake advertisement.' In this video, Reagan criticizes Trump's tariffs. He also talks about its bad effects on common people. This advertisement was worth $75 million (₹634 crore).
Both sides had been negotiating agreements in areas such as steel and aluminum for weeks, but Trump's announcement has completely halted it. Following Trump's decision, Canadian PM Mark Carney said that a comprehensive trade agreement with the Trump administration is now out of reach.
35% US Tariff Imposed on Canada
Trump has already imposed a 35% tariff on Canada. He had also imposed an extra 50% tariff on metals and 25% on automobiles. Goods covered under the US-Mexico-Canada Agreement (USMCA), which was established during Trump's first term, are exempt from tariffs.
According to Reuters, Carney said, 'If we fail to make progress in trade talks, Canada will not arbitrarily allow the US access to its markets.' He added - We will do whatever is necessary to protect our people.
Trump Wants to Merge Canada into US
Canadian Prime Minister Mark Carney visited the United States on October 8. During this visit, he met Trump in the Oval Office. Trump has often said that Canada should become the 51st state of America.
Carney dismissed this joke and said that he supports Trump's Gaza-Israel peace plan and Canada will help in this. Besides, Carney praised Trump and gave him credit for establishing peace between many countries including India and Pakistan.
During the conversation at the White House, Carney said, 'You are a transformative and special president. You transformed the economy, increased defense spending from NATO countries, and restored peace from India-Pakistan to Azerbaijan-Armenia.'
Total trade between US-Canada is ₹79 lakh crore
The United States and Canada are each other's largest trading partners, with goods and services worth approximately 15 thousand crore rupees exchanged every day.
In 2024, the total value of bilateral trade was approximately 79 lakh crore rupees, with the US goods trade deficit with Canada being 5.21 lakh crore rupees.
USMCA (United States-Mexico-Canada Agreement) was an important agreement between the two countries. It came into effect in 2020. This agreement promotes free trade. It is scheduled for review in 2026. Under USMCA, goods (81% of imports) receive exemptions.
