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A tense exchange unfolded as Jeanne Shaheen strongly challenged Howard Lutnick over the administration’s handling of trade relations with Canada. During the hearing, Shaheen warned that “insulting rhetoric” could damage long-standing alliances and make negotiations more difficult. She stressed that respect and diplomacy are essential to reaching agreements, particularly with close allies. Lutnick came under increasing pressure as lawmakers questioned whether the administration’s confrontational tone could undermine economic cooperation and regional stability.

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00:00Canada's economy leans on the incredible $30 trillion economy of America.
00:08There's no doubt about that, Mr. Secretary, but insulting our closest ally and neighbor who provides a lot of business.
00:16We have a lot of businesses in New Hampshire, small businesses who work on both sides of the border.
00:21We have all those Canadian visitors who are not coming because of your comments and comments by the administration.
00:28Yes, thank you, and great idea, Mr. Chairman.
00:31Thank you, Mr. Secretary, for being here today.
00:34Last year, according to the World Travel and Tourism Council, the United States saw a 5.5% decline in
00:42international visitors.
00:43We were the only major economy to see any decline.
00:47In my home state of New Hampshire, tourism is the second largest industry both by revenue and it supports 70
00:54,000 jobs.
00:55Canada has long been our largest share of foreign visitors, but last year we saw a 30% drop in
01:02Canadian tourism, largely due to the loss of trust and goodwill because of this administration's rhetoric around Canada.
01:11Secretary Letnik, last week you said about Canada's economic strategy, and I quote,
01:16they suck.
01:18I believe your spokesperson then said this was about Canada's economy leeching off of the U.S.
01:25How does insulting our closest ally and neighbor help the businesses in my state of New Hampshire and states all
01:33across this country who are hurting because of the loss of Canadian business and tourism?
01:42Canada's economy leans on the incredible $30 trillion economy of America.
01:50There's no doubt about that, Mr. Secretary, but insulting our closest ally and neighbor who provides a lot of business.
01:58We have a lot of businesses in New Hampshire, small businesses who work on both sides of the border.
02:04We have all those Canadian visitors who are not coming because of your comments and comments by the administration.
02:11How does that help our economy?
02:13It is outrageous that Canada will not put U.S. spirits on the shelf.
02:20It is insulting.
02:21It is.
02:23And disrespectful to America that they won't even put...
02:25And my husband has an interest in a company that has American spirits, and they won't do it because of
02:34the insults from this president and comments like yours.
02:38So I want to go on to another question.
02:42But can I have just one small comment, which is dairy is treated so badly, and your state cares about
02:47dairy,
02:48and we are trying desperately to get them to live to the deal that they have on USMCA and stop
02:55treating our dairy farmers so poorly,
02:58and your state cares about that, and we are fighting for that?
03:01We do, but we are not going to get agreement when we keep insulting people.
03:08When we have allies and partners, we should try and work with them, not insult them.
03:13And I find your rhetoric insulting to the people in my state who are working so hard to try and
03:20ensure that they can do business.
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