Trump: All trade negotiations with Canada terminated (over an ad) | investingLive

Trump has called off ongoing trade negotiations with Canada, which were said to be near the finish line:

The Ronald Reagan Foundation has just announced that Canada has
fraudulently used an advertisement, which is FAKE, featuring Ronald
Reagan speaking negatively about Tariffs. The ad was for $75,000. They
only did this to interfere with the decision of the U.S. Supreme Court,
and other courts. TARIFFS ARE VERY IMPORTANT TO THE NATIONAL SECURITY,
AND ECONOMY, OF THE U.S.A. Based on their egregious behavior, ALL TRADE
NEGOTIATIONS WITH CANADA ARE HEREBY TERMINATED. Thank you for your
attention to this matter! President DJT

USD/CAD is taking it in stride so far.

Trump has a thing he likes to do in negotiations where he leaves the counterparty at the altar before making nice.

Here is the ad, which was from the Ontario government, not the Federal government.

Here is the actual speech. The bolded are words used in the ad, and they’re verbatim and certainly capture Reagan’s spirit.

My fellow Americans:

Prime Minister Nakasone of Japan will be visiting me here at the
White House next week. It’s an important visit, because while I expect
to take up our relations with our good friend Japan, which overall
remain excellent, recent disagreements between our two countries on the
issue of trade will also be high on our agenda.

As perhaps you’ve heard, last week I placed new duties on some
Japanese products in response to Japan’s inability to enforce their
trade agreement with us on electronic devices called semiconductors.
Now, imposing such tariffs or trade barriers and restrictions of any
kind are steps that I am loath to take. And in a moment I’ll mention the
sound economic reasons for this: that over the long run such trade
barriers hurt every American worker and consumer. But the Japanese
semiconductors were a special case. We had clear evidence that Japanese
companies were engaging in unfair trade practices that violated an
agreement between Japan and the United States. We expect our trading
partners to live up to their agreements. As I’ve often said: Our
commitment to free trade is also a commitment to fair trade.

But you know, in imposing these tariffs we were just trying to deal
with a particular problem, not begin a trade war. So, next week I’ll be
giving Prime Minister Nakasone this same message: We want to continue to
work cooperatively on trade problems and want very much to lift these
trade restrictions as soon as evidence permits. We want to do this,
because we feel both Japan and the United States have an obligation to
promote the prosperity and economic development that only free trade can
bring.

That message of free trade is one I conveyed to Canada’s leaders
a few weeks ago, and it was warmly received there. Indeed, throughout the world there’s a growing realization that the way to prosperity for
all nations is rejecting protectionist legislation and promoting fair
and free competition. Now, there are sound historical reasons for this.
For those of us who lived through the Great Depression, the memory of
the suffering it caused is deep and searing. And today many economic
analysts and historians argue that high tariff legislation passed back
in that period called the Smoot-Hawley tariff greatly deepened the
depression and prevented economic recovery.

You see, at first, when someone says, “Let’s impose tariffs on
foreign imports,” it looks like they’re doing the patriotic thing by
protecting American products and jobs. And sometimes for a short while
it works — but only for a short time. What eventually occurs is: First,
homegrown industries start relying on government protection in the form
of high tariffs. They stop competing and stop making the innovative
management and technological changes they need to succeed in world
markets. And then, while all this is going on, something even worse
occurs. High tariffs inevitably lead to retaliation by foreign countries
and the triggering of fierce trade wars. The result is more and more
tariffs, higher and higher trade barriers, and less and less
competition. So, soon, because of the prices made artificially high by
tariffs that subsidize inefficiency and poor management, people stop
buying. Then the worst happens: Markets shrink and collapse; businesses
and industries shut down; and millions of people lose their jobs.

The memory of all this occurring back in the thirties made me
determined when I came to Washington to spare the American people the
protectionist legislation that destroys prosperity. Now, it hasn’t
always been easy. There are those in this Congress, just as there were
back in the thirties, who want to go for the quick political advantage,
who will risk America’s prosperity for the sake of a short-term appeal
to some special interest group, who forget that more than 5 million
American jobs are directly tied to the foreign export business and
additional millions are tied to imports. Well, I’ve never forgotten
those jobs. And on trade issues, by and large, we’ve done well. In
certain select cases, like the Japanese semiconductors, we’ve taken
steps to stop unfair practices against American products, but we’ve
still maintained our basic, long-term commitment to free trade and
economic growth.

So, with my meeting with Prime Minister Nakasone and the Venice
economic summit coming up, it’s terribly important not to restrict a
President’s options in such trade dealings with foreign governments.
Unfortunately, some in the Congress are trying to do exactly that. I’ll
keep you informed on this dangerous legislation, because it’s just
another form of protectionism and I may need your help to stop it.
Remember, America’s jobs and growth are at stake.

Until next week, thanks for listening, and God bless you.

I would have thought Trump would be more upset at Canadian auto quotas rather than this. I’d imagine this is sorted out quickly but it could add some volatility. I’d be curious to hear what the Ronald Reagan Foundation had to say because I’m having a hard time finding anything.

Update: