Donald Trump says he's ending trade talks with Canada all over an ad.
It's World Business Express from the BBC World Service.
I'm Leanna Byrne.
China calls for calm ahead of trade talks with Washington and Russia.
Faces fresh sanctions as it sets interest rates.
So President Trump says he's once again pulling the plug on trade talks with Canada.
And this time it's over an ad.
The ad in question, sponsored by Ontario's provincial government, used the voice of former US President, Ronald Reagan, criticising tariffs back in the 80s.
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.
America's jobs and growth are at stake.
Now, Trump accused Canada of using Reagan's words in what he called a fake advertisement.
But the Reagan Foundation says the ad simply used a short clip without permission, not that it was faked.
Let's have a listen to a part of Reagan's original radio speech, which isn't in the ad.
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.
This latest flare-up comes as tariffs of up to 50 in Canadian steel, aluminium and other goods are already biting.
Businesses on both sides of the border are feeling it, especially in Ontario, which trades more with the US than the rest of Canada combined.
Only a short time ago, Canada's Prime Minister, Mark Carney, said that his government is ready to talk, and David Adams, President of the Global Automakers of Canada, says he's still hopeful negotiations will continue.
We have heard this message from President Trump before earlier in the year with respect to Canada's digital services tax.
And we were able to get the negotiations back on track.
So I'm certainly hopeful that that will be the case.
I'm sure this is always on your mind, but could you just spell out for us how significant this could be for the auto sector in Ontario if negotiations completely stopped?
Well look, there are five manufacturers in Canada, and all of those manufacturers send about 85 to 90 percent of their production into the US market.
So if we don't have a prospect of continuing that duty-free access to the US market, then that's a substantial challenge.
That's David Adams from the Global Automakers of Canada.
Another strategy is for Canadian companies to source outside the US.
So says Scott Morrison, who runs Launchpad Copac, a small bottling company in Ontario.
The litmus test for how Canadians are feeling right now is we've been really working to find ways to take the relations with the American businesses out of the equation wherever possible.
Not because we don't have friends in America, but the challenge here is how do you deal with someone who's not dealing in good faith?
The only way to do that is to go around them.
So as a beverage manufacturer we unfortunately are tied to a lot of products coming out of the US, but I have more and more customers asking me to find supply chain for juice directly from Brazil, from Egypt is a big supplier of some different juices.
People are consciously trying to get around this.
There are certain products that we don't have a choice on.
Aluminum cans, for example, are not extruded in Canada.
That's got to cost you more, though.
Well, it will, of course.
But if you think about it, creating a manufacturing plant for cans, I mean, that's a three to four year exercise at best.
Canada needs to focus its attention on building up its manufacturing infrastructure back to where it was before.
50 years ago, when we actually had a lot of manufacturing plants.
That was Scott Morrison, who runs Launchpad Copac.
Staying on trade.
China's commerce minister says Beijing and Washington can work through their trade differences.
That's ahead of talks in Malaysia, focused on China's grip on rare earth supplies.
It comes as President Trump threatens steep new tariffs on Chinese goods from November 1st in response to China's tighter export controls.
Meanwhile, the Bank of Russia has just cut its key interest rate again down to 165 as it tries to steady an economy under pressure from sanctions and high inflation.
Here's the Bank of Russia Governor Elvira Nabiulina.
Today we decided to lower the key rate to 16.5%.
The situation is developing between our forecast.
Monetary conditions remain tight, creating vapor conditions for lower inflation.
So what's really going on inside Russia's economy and how long can it hold up under sanctions and the cost of war?
I spoke to the former Russia Prime Minister Mikhail Kasyanov.
He was the Prime Minister under Vladimir Putin for four years until 2004.
He's now a prominent critic of Mr Putin and lives in exile.
Putin recognized yesterday that it is serious.
Of course, he said we overcome easily these problems, but that is a real, real problem.
And in fact, the major inflow of foreign exchange and revenue to Russian budget.
30 of federal budget revenue is because of export of oil.
We'll get the effect of these sanctions not today, not in one month, but in three months' time approximately.
Now you were in the Kremlin and I'm sure you worked very closely with major businesses you know and leaders of those businesses when you were in office.
Maybe you know how much influence do they still have over President Putin today, like the likes of the oil companies or possibly even the defence companies.
They don't have influence on Putin in terms of changing the policy.
Of course they can complain how difficult for them to survive, but they don't have any influence on Putin of changing his political vision and his policy.
It's not in their hands.
And Putin is not going to listen to them.
And they are scared to even impress their opinion on this.
The Bank of Russia has just cut its key rate again, now down to 16.5%.
And the government is saying inflation is slowing and growth is going to pick up again next year.
So do you see that as a sign of confidence or is that a warning that the economy is weakening?
The reduction that this was a very absolute, a slight reduction, half a percent, that's nothing.
Just having the key rate 17, now 16 and a half, that's nothing.
But that is only to make President Putin pleased and the industries.
The deficit is quite big, not dramatic, but it means internal borings.
But nobody is going to buy Russian bonds.
It means that the state-owned banks will be instructed to buy Ministry of Finance bonds.
That was former Russia Prime Minister Mikhail Kasyanov.
Now let's go stateside, because prices in the US rose slightly faster in September than the month before, though not as much as expected.
Randeep Somal is Fund Manager at M&G Investments.
Randeep, are we breathing a sigh of relief when it comes to inflation?
Well, the markets certainly are, Leanne.
We've got a rallying Dow and S&P up about a percent today.
The numbers have come in much lighter than expected, although they have grown month on month by 03 percent.
So inflation is now at about 3 percent.
This does give the Federal Reserve some scope to potentially continue costing interest rates, which is why the market's excited.
So you think that could mean another rate cut when the Fed meets next month?
It has.
The labour numbers are a bit softer, consumer sentiment is also down and inflation seems to be flattening out.
So it does give Jerome Powell some scope now.
Okay, Randeep Samal, thank you very much.
The German company Bacher behind the lift used in the Louvre heist is leaning into its sudden fame.
CCTV revealed thieves used it to make off with $100 million worth of jewels.
Well, it's launched an ad campaign showing its ladder outside the museum.
And the tagline is, equipment can move treasures quietly.
Very good.
And that's it from World Business Express with me, Leanna Byrne.
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Thanks so much for listening.
