Terminating the National Emergency Declared to Impose Duties on Articles Imported From Canada

Floor Speech

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Mr. SCHUMER. Mr. President, first, I want to thank our great Senators Klobuchar and Kaine and Wyden for leading the charge here on the Senate floor against Donald Trump's destructive, self-defeating, and often utterly juvenile trade war.

Today, the Senate will vote to end Donald Trump's national emergency declaration against Canada and put a stop to the asinine trade war with our neighbors to the north. This has been the most peaceful relationship over the centuries, and Donald Trump seems to throw a hand grenade to undo that relationship. We need to put a stop to this asinine trade war with our neighbors to the north.

And if Americans want proof that Donald Trump's trade war has been a catastrophe, consider this: While he capitulates to Beijing, he is raising tariffs on Canada.

How nonsensical. How stupid. How thoughtless.

Canada--one of our strongest allies, one of our most important trading partners. I don't know of two large economies that are more entwined than America's and Canada's. And after a year and a half of failed trade war, Americans have not gotten liberation. Instead, Americans have been saddled with a national sales tax. That is what Trump's tariffs are, a national sales tax on Americans.

The average family--America, listen to this--the average family, American family, is paying $2,000 more a year thanks to Trump's tariffs. Our farmers are taking a beating.

In New York, Donald Trump's 35 percent tariffs on Canada have been devastating. We depend on tourism. More than a quarter of the tourists who visit Niagara Falls and the wine country in the Finger Lakes region are from Canada. So many from Canada flood New York City every year. And yet, this year, tourism and border crossings are down 20 percent. Western New York and Buffalo depend on those border crossings all the time.

Trade between our Nations has been hurt. Jobs have been squandered. The economy of every northern border State--as with Minnesota--has suffered.

And now Donald Trump wants to add another 10 percent tariff on Canada because his feelings were hurt over an ad featuring Ronald Reagan. Can you imagine what an infantile leader we have in America? He sees an ad and then hurts the American people with these tariffs.

Yes, that is right. Donald Trump's pride has become so fragile that he is threatening to increase tariffs on Canada by another 10 percent, from 35 percent to 45 percent. Why? Simply because the government of Ontario released an ad that included a radio address from President Reagan, warning about the danger of tariffs, and, apparently, that got Donald Trump's feelings all hurt.

Trump is letting his delicate little ego drive U.S. trade, whether it is with Brazil, Argentina, or with Canada. The consequence is that Americans are paying more.

This isn't a laughing matter, really--no. Struggling families have to pay thousands of dollars more each year because Donald Trump doesn't like the internal goings on in Canada or Argentina or Brazil. That hurts Americans, and we pay more for construction materials, for aluminum, for paper, and so much more.

But do you know what? The truth hurts. What President Reagan said, back in those years, about the danger of tariffs was true back then and remains true today. And I know my colleagues on both sides of the aisle disagree.

It's an important visit, because while I expect to take up our relations with our good friend Japan, which overall remain excellent, 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. Now, imposing such tariffs or trade barriers and restrictions of any kind are steps that I am loath to take. And in a moment I'll mention the sound economic reasons for this: that over the long run such trade barriers hurt every American worker and consumer. But the Japanese semiconductors were a special case. We had clear evidence that Japanese companies were engaging in unfair trade practices that violated an agreement between Japan and the United States. We expect our trading partners to live up to their agreements. As I've often said: Our commitment to free trade is also a commitment to fair trade.

But you know, in imposing these tariffs we were just trying to deal with a particular problem, not begin a trade war. So, next week I'll be giving Prime Minister Nakasone this same message: We want to continue to work cooperatively on trade problems and want very much to lift these trade restrictions as soon as evidence permits. We want to do this, because we feel both Japan and the United States have an obligation to promote the prosperity and economic development that only free trade can bring.

Now, that message of free trade is one I conveyed to Canada's leaders a few weeks ago, and it was warmly received there. Indeed, throughout the world there's a growing realization that the way to prosperity for all nations is rejecting protectionist legislation and promoting fair and free competition. Now, there are sound historical reasons for this. For those of us who lived through the Great Depression, the memory of the suffering it caused is deep and searing. And today many economic analysts and historians argue that high tariff legislation passed back in that period called the Smoot-Hawley tariff greatly deepened the depression and prevented economic recovery.

You see, at first, 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. What eventually occurs is: First, homegrown industries start relying on government protection in the form of high tariffs. They stop competing and stop making the innovative management and technological changes they need to succeed in world markets. And then, while all this is going on, something even worse occurs. High tariffs inevitably lead to retaliation by foreign countries and the triggering of fierce trade wars. The result is more and more tariffs, higher and higher trade barriers, and less and less competition. So, soon, because of the prices made artificially high by tariffs that subsidize inefficiency and poor management, people stop buying. Then the worst happens: Markets shrink and collapse; businesses and industries shut down; and millions of people lose their jobs.

The memory of all this occurring back in the thirties made me determined when I came to Washington to spare the American people the protectionist legislation that destroys prosperity. Now, it hasn't always been easy. There are those in this Congress, just as there were back in the thirties, who want to go for the quick political advantage, who will risk America's prosperity for the sake of a short-term appeal to some special interest group, who forget that more than 5 million American jobs are directly tied to the foreign export business and additional millions are tied to imports. Well, I've never forgotten those jobs. And on trade issues, by and large, we've done well. In certain select cases, like the Japanese semiconductors, we've taken steps to stop unfair practices against American products, but we've still maintained our basic, long-term commitment to free trade and economic growth.

So, with my meeting with Prime Minister Nakasone and the Venice economic summit coming up, it's terribly important not to restrict a President's options in such trade dealings with foreign governments. Unfortunately, some in the Congress are trying to do exactly that. I'll keep you informed on this dangerous legislation, because it's just another form of protectionism and I may need your help to stop it. Remember, America's jobs and growth are at stake.

Until next week, thanks for listening, and God bless you.

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Mr. SCHUMER. Yesterday, the Senate came together in a bipartisan way to pass legislation to end Donald Trump's bogus emergency declaration in Brazil, under the leadership of Senator Kaine. Today, we can take the next step to reverse Trump's trade war on one of America's most important allies, under the leadership of Senator Klobuchar. I urge--I urge--my Republican colleagues to join Democrats once again to think about the families back home that are hurt by Trump's tariffs and put an end to Trump's tariff war on Canada.

Enough is enough.
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