Trump claims US banks are barred from Canada, but financial data tells a different story

President Donald Trump on Tuesday accused Canada of blocking US banks from operating within its borders while allowing Canadian banks to do business freely in the state, a statement that contradicts financial regulations and the presence of major American banks in the country.
Speaking at the White House and posting on social media, Trump said, “Canada doesn’t even allow US banks to open or do business there. What’s that all about?” He later repeated the claim in the Oval Office, saying he had raised the issue with Canadian Prime Minister Justin Trudeau.

However, financial experts and industry data show that multiple US-based banks have been operating in Canada for years, reported CNN.
The Canadian Bankers Association reports that 16 US bank subsidiaries and branches are currently active in the country, holding assets worth approximately C$113 billion.
Banks such as JPMorgan Chase, Citigroup, Wells Fargo, and Bank of America have established operations in Canada, providing corporate lending, investment banking, and credit card services.
While Canadian regulations impose strict requirements on foreign banks, they are not barred from entry. US banks can either set up a Canadian subsidiary, subject to the same regulations as domestic banks, or establish a branch, which has certain limitations, such as restrictions on taking deposits under C$150,000.
Financial analysts note that Canada’s stringent banking policies aim to maintain financial stability, but they do not exclude foreign competitors. “There are trade-offs for foreign banks, but to say they are not allowed in Canada is simply incorrect,” said Jeremy Kronick of the CD Howe Institute.
Trump’s comments come amid ongoing trade tensions between the US and Canada, with the president temporarily pausing planned tariffs on Canadian imports. While the dispute over banking access appears to be based on a misunderstanding, it highlights broader economic friction between the two countries.