Providing for Congressional Disapproval Under Chapter 8 of Title United States Code, of the Rule Submitted By the Internal Revenue Service Relating to ``Gross Proceeds Reporting By Brokers That Regularly Provide Services Effectuating Digital Asset Sales''--

Floor Speech

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Mrs. SHAHEEN. Madam President, I come to the floor today because I am concerned about President Trump's actions to, I believe, start a trade war with our top two trading partners, Canada and Mexico.

All goods coming from Canada and Mexico, as of midnight last night--I guess midnight today--face a 25-percent tax; that is, all except Canadian energy, which is taxed at 10 percent. Trump's tariffs will make everything from gas to heating, to groceries, to lumber and more, more expensive for everyday Americans.

I think it bears repeating that tariffs are paid by consumers. They are paid by Americans, not by other countries. And what the President is doing amounts to a new tax for Americans. For example, heating oil and propane that keeps hundreds of thousands of Granite Staters warm in the winter is going to cost more. We are going to add about $150 to $250 to the cost of heating homes in New Hampshire.

And gas prices are going to go up. In New Hampshire, half of the fuel in our cars and trucks comes from Canada, and U.S. refineries across the Midwest use Canadian oil.

The United States imports 80 percent of its potash fertilizer from Canada, and this tariff makes farming and food more expensive.

It is unclear how the American auto industry is going to continue to operate. Ford's CEO said these tariffs will ``blow a hole in the U.S. industry that we have never seen,'' with up to $12,000 added to the cost of a car.

And this will make lumber and electrical equipment that we need to build housing--at a time when housing is already in short supply--it will make them more expensive and harder to find.

Those are just a few examples.

There are countless other imports that American businesses and families rely on that are going to be hit hard, and these tariffs do nothing to bring down those costs. They do just the opposite.

These tariffs could add $1,200 to an average household's yearly cost, and we won't have to wait very long for the impact to be felt. It is already being felt on Wall Street and the stock market. Target's CEO said this morning that the consumer ``will likely see price increases over the next couple of days.'' And for small businesses, these tariff taxes will be felt by small businesses in all of our States.

I was here, a month ago today, sharing stories from businessowners in New Hampshire who weren't sure how they were going to keep operating if specialized machinery that they can only get from Canada suddenly costs 25 percent more. Since that time, I have heard from even more people in New Hampshire, more small businesses.

Last week, I heard from a small company in Windham, NH, that makes allergen-free cookies, and they can only get certain ingredients for those cookies from Canada. The CEO built her business, which now employs 30 people, and now she can't be sure if they are even going to be able to keep going, let alone keep growing.

When I spoke with business representatives across New Hampshire last month, the theme they kept coming back to was ``uncertainty.'' As a former small businessowner, I know that uncertainty is the most destabilizing aspect of running and growing a business. Yet that is what this administration keeps creating.

Yesterday, we learned that new orders from manufacturers dropped in February for the first time in 22 years. For the first time in 22 years, new orders from manufacturers dropped because companies can't work with this level of uncertainty.

Last Wednesday, the President was talking about Canadian tariffs going into effect April 2. The very next morning, he announced 25 percent tariffs would go into effect today. The whiplash is hard to imagine.

I spoke, last month, about a bus company, C&J Bus Lines, in New Hampshire that was worried about these tariffs and what it would mean for the bottom line. Well, the CEO moved up his delivery date to get three buses in late March before these taxes were set to go into effect, but his costs just went up more than $450,000.

Businesses plan months, quarters, or years in advance. They need to place orders and plot out their growth in order to succeed. How can they plan when they can't even know whether their costs are going to go up 25 percent overnight? How can a developer know if they can start building the housing that New Hampshire desperately needs if their lumber costs 25 percent more overnight? And how can a family already struggling with high costs continue to pay the rent or put food on the table if their household costs are going to go up $1,200 this year?

I want families and businesses to know that the whims of this President are not going to cause them to break the bank on everyday items they need to get by. That is why I introduced the Protecting Americans from Tax Hikes on Imported Goods Act. It is a simple change, really. It says that the International Emergency Economic Powers Act, or IEEPA, can no longer be used to place taxes on imports.

If the President needs to block some dangerous product, he still can. But if there is a real threat, we would want to stop it, not just add a tariff tax. That is what my bill does. It would stop these tariffs on goods and energy coming from Canada and Mexico, and it would give businesses and families more certainty to plan for the future and to keep their hard-earned dollars in their pockets.

151 and that the Senate proceed to its immediate consideration; that the bill be considered read a third time and passed; and that the motion to reconsider be considered made and laid upon the table.

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Mrs. SHAHEEN. Madam President, I know that my colleague from Oregon wants to speak to this issue, but I just want to respond in a couple of ways.

I know my colleague from South Carolina cares about the issues that I am going to address, but he mentioned fentanyl, and that is what the President has used to justify the tariffs. He says this is a way to stop the flow of fentanyl into our country, but he has forgotten a few inconvenient facts.

First, it is that, in 2024, CBP, or Customs and Border Protection, seized about 43 pounds of fentanyl along our northern border--about 1 percent of the fentanyl coming into this country. Now, it has long been known that fentanyl is not coming from Canada, and that hard drugs and firearms flow north from the United States into Canada.

In fact, on February 25, the Canada Border Services Agency announced the seizure of 410 pounds of methamphetamine and 42 pounds of cocaine from two commercial trucks seeking entry into Canada at the Coutts port of entry. Seizures like this are not uncommon. Wouldn't it make more sense if we agreed to work together with our Canadian allies instead of putting a tariff on them?

The second fact that bears mentioning is that the vast majority of the fentanyl crossing the southwest border is transported by Americans, hidden in their cars and trucks. That is why I have supported--like most of my colleagues in this body have supported--more money for technology and personnel to better find these drugs before they enter the United States. That is why I supported the border bill last year that this President stopped because he wanted a political issue.

On China, we can debate another time whether this is actually the right long-term strategy with China. But more important than that, my bill does not prevent tariffs against countries like China that have unfair trade practices. Both President Trump, in his first term, and President Biden have already placed tariffs on numerous imports from China to respond to its unfair trade practices, exactly what section 301 of the Trade Act is for. That tool remains available.

My bill only addresses the ability of the President to tax imports on a whim. And I want to note that, thanks to this President, we now have higher taxes on imports from Canada than from China. I don't know how that makes sense--that we are taxing our allies more than we are taxing our adversaries.

So I would say: Is this really about China, or is a more important motivation here to raise costs on American families to pay for tax cuts for the wealthy?

As the ranking member of the Foreign Relations Committee, I take very seriously our ability to use sanctions or other tools in foreign policy. This bill does nothing to limit the use of sanctions under IEEPA, nor does it prevent an embargo or fully blocking dangerous imports.

But I don't think a tax is the right solution for those issues. In fact, this is breaking the U.S.-Mexico-Canada Agreement that President Trump negotiated just 6 years ago. And if we are going to break the very deal we have negotiated--I think, one of the most important achievements of the first Trump administration--why would people want to work with us in the future? Why would they want to work with a Trump administration? How does being an unreliable partner to our closest allies help our national security?

I think it is important to be clear on this: Donald Trump's trade war doesn't create any manufacturing jobs tomorrow in the United States. In fact, it is far more likely to cost us tens or hundreds of thousands of jobs. Half of the goods that America imports are intermediate components, that means parts that our companies manufacture into finished goods. Every one of those items coming from Canada or Mexico just got 25 percent more expensive.

And we have already heard from automakers. They are not sure how much this is going to add to the bottom line of cars. I think that is a lot of risk for tariffs that President Trump can't justify for any other reason, other than because he wants to get funding to support a tax cut for the wealthiest Americans.

Yet the President is talking about wanting to cut deals with Russia for economic development. I don't see the logic in going half way around the world to deal with a dictator--a murderous dictator, by the way--like Vladimir Putin. At the same time, we are damaging relationships and cutting off trade with our closest allies right here in North America.

I am happy to listen to somebody's explanation here, but I don't think it makes sense, and it seems entirely contrary to American values to me. So I hope that my colleagues on the other side of the aisle will see the folly in what the President is doing, will recognize the impact on the economy and American families because of these increased costs, and agree that these tariffs should be rolled back.

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