The Supreme Court put a check on President Trump’s tariff power, but don’t think for a second this is the end of the story. Businesses hoping for smooth sailing are likely in for more choppy waters.
- Tariffs based on the 1977 International Emergency Economic Powers Act (IEEPA) are gone.
- Trump is already looking at other ways to impose tariffs.
- Trade deals made under the threat of tariffs are now in question.
Trump’s Trade Comeback?
The liberal media is probably celebrating this Supreme Court decision, claiming it’s a defeat for President Trump. But true conservatives know Trump isn’t one to back down. He’s a fighter, and he’ll find a way to protect American businesses and workers. The question now is, what’s his next move?
Treasury Secretary Scott Bessent made it clear that tariff revenues will remain the same. Trump is eyeing Section 122 of the Trade Act of 1974. This allows him to slap on tariffs of up to 15% for 150 days. But getting Congress to extend that past 150 days will be tough, especially with the midterm elections coming up.
Some folks argue Section 122 isn’t meant for trade deficits but for financial crises. But let’s be honest: a trade deficit is a financial crisis for American jobs.
Are Trump’s Trade Deals Now Worthless?
Remember those trade deals President Trump hammered out last year? He used the threat of tariffs to get countries to play ball. Now that those IEEPA tariffs are gone, will these countries try to weasel their way out of the deals?
The European Union is already having second thoughts, delaying a vote on their trade deal. They’re worried Trump’s new tariffs will be piled on top of existing tariffs. The EU’s commission spokesman Olof Gill says “A deal is a deal,” but they want reassurance that the U.S. will honor the agreement.
U.S. Trade Representative Jamieson Greer insists the trade agreements will stay in place. Plus, the U.S. can still use Section 301 tariffs if countries break their promises. These are potentially unlimited. It could become a solid way for the United States to enforce trade agreements.
Who Gets the Money Back?
The Supreme Court punted on the refund question, leaving lower courts to figure out what to do with the $133 billion collected from the tariffs. Importers are lining up to get their money back. But don’t expect to see that money trickle down to consumers.
Getting a refund could take months, even years. Some strategists are suggesting Congress step in to streamline the process. Otherwise, the administration could drag its feet and require tons of paperwork, making it costly for businesses to recoup their losses.
This whole situation highlights the ongoing battle between those who want to protect American industries and those who prioritize globalist agendas. Will President Trump’s next move be a strategic win for American workers and businesses?
