On Saturday, President Donald Trump noted that intends to increase tariffs on Canadian imports by an additional 10%, due to a television advertisement that was released over Ontario airwaves, according to the AP.1
The ad, which aired during games 1 and 2 of the World Series, reportedly used the 1987 words of former President Ronald Reagan to disapprove of the US tariffs, in which he details the negatives of import taxes, which stressed the importance of free trade.2
Ontario Premier Doug Ford noted that after discussing with Canadian Prime Minster Mark Carney, the ads will be paused starting today in order for trade negotiations with the US to continue, which meant they were still going to air over the weekend.
Trump responds on Truth Social
Trump accused Canada of intentionally misrepresenting Reagans speech as a form of retaliation, writing in Truth Social post that, “Canada was caught, red handed, putting up a fraudulent advertisement on Ronald Reagan’s Speech on Tariffs. The Reagan Foundation said that they, ‘created an ad campaign using selective audio and video of President Ronald Reagan. The ad misrepresents the Presidential Radio Address,’ and ‘did not seek nor receive permission to use and edit the remarks. The Ronald Reagan Presidential Foundation and Institute is reviewing its legal options in this matter.’ The sole purpose of this FRAUD was Canada’s hope that the United States Supreme Court will come to their ‘rescue’ on Tariffs that they have used for years to hurt the United States.
“Now the United States is able to defend itself against high and overbearing Canadian Tariffs (and those from the rest of the World as well!). Ronald Reagan LOVED Tariffs for purposes of National Security and the Economy, but Canada said he didn’t! Their Advertisement was to be taken down, IMMEDIATELY, but they let it run last night during the World Series, knowing that it was a FRAUD. Because of their serious misrepresentation of the facts, and hostile act, I am increasing the Tariff on Canada by 10% over and above what they are paying now. Thank you for your attention to this matter!”
Tariffs and trade under USMCA
As it stands, levies on Canada have been at 35% since Aug. 1, with certain requirements otherwise needing to fall under the United States-Mexico-Canada Agreement (USMCA). And when it comes to pharma, Canadian branded pharmaceuticals are also facing the threat of facing 100% tariffs unless companies construct production plants in the US.4
However, these are very much up in the air after reporting have been surfacing saying that the US president may not enact the triple-digit pharma tariffs after all.5 Rather the tariffs could potentially use as negotiating tactic with pharma companies while they work out deals with the government to lower drug costs.
Fast facts: Trump’s latest tariff announcement
- New tariff threat: 10% hike on all Canadian imports following a controversial Reagan-themed ad.
- Current rates: Tariffs on Canada already at 35% since August 2025.
- Reagan Foundation response: Confirmed no authorization was given for the ad’s edited remarks.
- Pharma angle: Trump has threatened 100% tariffs on branded drugs unless production moves to the U.S.
- Legal context: An August court ruling deemed many tariffs “null and void”; appeals are ongoing.
Legal challenges and policy outlook
This is all taking place amid an August ruling by a lower court declaring that a majority of Trump’s tariffs are null and void.
The appeals court decision arises from two separate cases: one filed by five small import businesses—including a New York wine and spirits distributor and a Pennsylvania sport fishing retailer—and another brought by 12 states (Arizona, Colorado, Connecticut, Delaware, Illinois, Maine, Minnesota, Nevada, New Mexico, New York, Oregon, and Vermont), the majority of which are led by Democratic governors.
Trump invoked IEEPA—a 1977 federal law that gives him the authority to control international commerce and implement economic sanctions during declared national emergencies caused by extraordinary threats to national security, foreign policy, or the economy arising outside the United States—in order to enact these tariffs on trading partners that date back to early February.
The hearing is specifically referencing when Trump decided to impose 25% tariffs on Mexican and Canadian imports—along with 10% on goods coming from China—to encourage these nations to act on limiting illegal immigrants and fentanyl from entering the United States.
The president has been a supporter of enacting tariffs on manufacturers in order to encourage reshoring of these processes back to the United States, and now, oral arguments are expecting by early November.
References
1. Schiefelbein M. Trump Threatens Canada With 10% Extra Import Tax for Not Pulling Down Anti-Tariffs Ad Sooner. AP. October 25, 2025. Accessed October 27, 2025. https://apnews.com/article/trump-canada-tariffs-3cbc1cbf9ed53a10b442fd55dae1e0a3
2. Lopez E. Trump to Raise Canada Tariffs by 10%. Supply Chain Dive. October 25, 2025. Accessed October 27, 2025. https://www.supplychaindive.com/news/trump-raises-canada-tariffs-10-percent/803811/
3. President Trump’s Truth Social post. https://truthsocial.com/@realDonaldTrump/posts/115436697060819133
4. Saraceno N. Trump Announces 100% Tariff on Branded Drugs Unless Pharma Builds US Plants. Pharmaceutical Commerce. October 25, 2025. Accessed October 27, 2025. https://www.pharmaceuticalcommerce.com/view/trump-100-percent-tariff-branded-drugs
5. Hollan M. Trump Pauses Plans to Impose 100% Tariffs on Pharma: Report. Pharmaceutical Executive. October 25, 2025. Accessed October 27, 2025. https://www.pharmexec.com/view/trump-pauses-plans-impose-100-tariffs-report
6. Saraceno N. Trump Pushes Supreme Court to Save Tariffs After Appeals Court Ruling Limits Presidential Power. Pharmaceutical Commerce. September 4, 2025. Accessed October 27, 2025. https://www.pharmaceuticalcommerce.com/view/trump-pushes-supreme-court-save-tariffs-appeals-court-ruling
