PM Carney says Canada ready to resume trade talks with US Which Trump halted over Reagan ad

Prime Minister Mark Carney has said that Canada stands ready to resume trade talks with the United States that President Donald Trump halted over an anti-tariff advertisement issued by Ontario's provincial government.

"A lot of progress has been made, and we stand ready to pick up on that progress and build on that progress when the Americans are ready to have those discussions, because it will be for the benefit of workers in the United States, workers in Canada and families in both of our countries," Reuters quotes Carney as saying.

Before departing Ottawa for his first official visit to Asia, where he aims to diversify trade ties away from the United States, Carney said: "My colleagues have been working with their American colleagues on detailed constructive negotiations, discussions on specific sectors.”

Trump terminated the talks on October 23 over the video, which used Republican icon, former President Ronald Reagan, saying tariffs cause trade wars and economic disaster.

In a late-night social media post, Trump called the ad fraudulent.

Carney has tried on two White House visits since becoming prime minister to strike a deal to lower import tariffs on steel, aluminum and autos imposed by Trump that have hurt Canada's economy.

Carney had removed most of Canada's retaliatory tariffs on U.S. imports imposed by his predecessor, but White House adviser Kevin Hassett said Trump was frustrated with Canada and trade talks have not been going well.

"I think the frustration has built up over time," Hassett, director of the National Economic Council, told reporters at the White House. "The Canadians have been very difficult to negotiate with."

In a separate post on October 24, Trump accused Canada of trying to influence the U.S. Supreme Court as it prepares to hear arguments next month over the legality of Trump's sweeping global tariffs.

The Ronald Reagan Presidential Foundation said the ad used "selective audio and video." It said it was examining legal options.

The ad's voiceover consists of Reagan, a hero to many U.S. Republicans, criticizing tariffs on foreign goods while saying they cause job losses and trade wars. The video uses five complete sentences from the five-minute weekly address, spliced together out of sequence.

"The ad misrepresents the Presidential Radio Address (by Reagan in 1987), and the Government of Ontario did not seek nor receive permission to use and edit the remarks," a Foundation statement said.

The ad does not mention that Reagan was using the address to explain that tariffs imposed on Japan by his administration should be seen as a sadly unavoidable exception to his basic belief in free trade as the key to prosperity.

Earlier on October 24, Canada sharply reduced tariff-free import quotas for General Motors and Stellantis, citing their decisions to scale back manufacturing in the country.

Trump's trade war has increased U.S. tariffs to their highest levels since the 1930s and he has regularly threatened more duties, sparking concerns among businesses and economists.

Next year, the U.S., Canada and Mexico are due to review their 2020 continental free-trade agreement.

Carney said he recognises U.S. trade policy has fundamentally changed, however.

By Khagan Isayev