The future of President Donald Trump’s tariffs remains uncertain, but it is likely that his import taxes will persist in some form. According to a source, even before a recent court ruling that Trump overstepped his authority by using a national emergency to impose most of his tariffs, discussions were already underway about alternative strategies if the courts invalidated his actions.
Read also: Challenges and Alternatives in President Trump’s Tariff Strategy
Trump’s administration has been exploring various trade-related laws to continue imposing tariffs. One option is to use Section 122, which allows the president to levy a tariff of up to 15% for a maximum of 150 days to address significant U.S. trade deficits. The U.S. currently faces an $87.6 billion goods trade deficit, as reported by the Census Bureau. Despite the temporary nature of Section 122 tariffs, they could replace the existing 10% baseline tariff on nearly all imports, pending Congressional approval for extension.
Another avenue is Section 232, which grants the president authority to impose tariffs on national security grounds. This has been used to justify tariffs on steel, aluminum, and other critical sectors. Meanwhile, Section 301 allows for tariffs in response to unjustifiable trade practices by other nations, with no limit on their duration or level. This was notably used during Trump’s first term to target Chinese imports and European goods.
Despite legal challenges, the administration maintains its stance on tariffs, viewing them as essential leverage in ongoing bilateral trade negotiations. The potential for higher tariffs remains a central part of the administration’s strategy, with officials asserting Trump’s commitment to this approach.
