Trump Plans Fresh Trade Probes After Supreme Court Strikes Down Tariffs

Trump administration eyes Section 232 and 301 investigations to rebuild tariff regime after court ruling curbs presidential authority

Trump Approves Bill Threatening 500% Tariffs on Russian Goods
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Summary
Summary of this article
  • Trump administration plans new Section 232 probes into imports including batteries, telecom gear, chemicals, and plastics.

  • Section 301 investigations targeting major trading partners may examine forced labour, digital taxes, pharma pricing, and tech discrimination.

  • Supreme Court struck down Trump’s reciprocal tariffs; administration has five months to restructure import duties.

The US is preparing for a slew of additional national security investigations that would allow US President Donald Trump to impose new tariffs, reports said. Following the Supreme Court’s ruling that struck down Trump’s Liberation Day tariffs, the Trump administration is now seeking to rebuild his global tariff regime. After the verdict, the global tariffs were raised to 15% on Sunday, hours after tariffs were announced at 10%.

The Trump administration is preparing to launch investigations into the impact of imports on batteries, cast iron and iron fittings, electrical grid equipment, telecom equipment, plastics and plastic piping, and industrial chemicals, Bloomberg reported, citing sources.

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The probes under Section 232 of the Trade Expansion Act of 1962 allow the president to impose duties based on national security concerns. US Customs will halt collecting tariffs under the reciprocal tariff regime from Tuesday onwards, as the 15% global tariff rate comes into effect.

As per the report, the president can keep those tariffs in place only for a period of five months, and Trump hinted that he will utilise that time to prepare other import taxes that could help replace the tariffs that were ruled illegitimate by the apex court.

US Trade Representative Jamieson Greer last week said Trump would also take into consideration probes under Section 301 of the Trade Act of 1974. The section is designed to counter discriminatory actions by trading partners.

Those inquiries are expected to cover “most major trading partners” and include “areas of concern such as industrial excess capacity, forced labor, pharmaceutical pricing practices, discrimination against US technology companies and digital goods and services, digital services taxes, ocean pollution, and practices related to the trade in seafood, rice, and other products,” the Bloomberg report said, citing Greer.

Further, on Monday, Trump threatened higher tariffs on imports from countries that “play games” with their existing US trade agreements following the Supreme Court’s decision.

The European Union on Monday froze the ratification process for its deal with the US as EU leaders seek clarity on Trump’s tariff policies.

“Any Country that wants to ‘play games’ with the ridiculous Supreme Court decision, especially those that have ‘Ripped Off’ the U.S.A. for years, and even decades, will be met with a much higher Tariff, and worse, than that which they just recently agreed to. BUYER BEWARE!!!,” Trump posted on social media.

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