Blurb: The US President is rebuilding his tariff agenda using established trade laws after a SC setback, signalling tougher stands against major trading partners.
Washington
U.S. President Donald Trump has entered a new phase of his trade policy, shifting to long-established trade laws to build a more durable tariff regime after the Supreme Court struck down his earlier Liberation Day tariffs.
Trump had initially sought to impose sweeping duties immediately upon returning to office, bypassing lengthy investigations in an effort to pressure trading partners into making concessions. However, those tariffs were later ruled illegal, forcing his administration to adopt a more conventional legal approach.
The latest move imposes tariffs of 10% and 12.5% on imports from 60 countries under Section 301 of the Trade Act of 1974, citing inadequate enforcement of forced-labour bans. According to the U.S. Trade Representative’s Office, the new duties cover 99.4% of U.S. imports and effectively replace the temporary 10% global tariff that expired recently.
The administration is also pursuing fresh investigations into alleged unfair trade practices, including excess industrial capacity, intellectual property theft by Vietnam, and national security concerns involving strategic sectors such as semiconductors, robotics and industrial machinery.
Trade experts believe the coming months will define the full scope of Trump’s tariff agenda. While businesses may gain greater clarity over future U.S. trade policy, foreign governments could face increasing pressure to offer concessions to retain access to the $3.4 trillion American import market.
Some industry leaders viewed the latest announcement as largely maintaining the existing trade environment, though concerns remain that additional tariff measures targeting major economies are likely before the end of the summer.
BOX
The game called tariffs
- Trump shifts to court-tested trade laws.
- New tariffs imposed on 60 countries.
- Duties introduced under Section 301.
- More trade investigations planned.
- Businesses expect greater policy certainty.
