SerpApi.Org
President Donald Trump is reportedly preparing to impose a new wave of tariffs on dozens of countries in the coming days, despite the Supreme Court striking down a large portion of them months ago.
Senior White House officials have reportedly urged President Trump not to impose new tariffs on dozens of nations as his blanket 10% global tariffs are set to lapse on Friday. Concerns come as the November midterms quickly approach, and Republicans are at a vulnerable point to hold on to their control of Congress,
The proposed tariffs could affect as many as 60 countries, with duties ranging from 10% to 12.5%. However, the administration is pursuing avenues to impose higher levies in the long term, a new report by the Daily Mail reveals.
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The new plans is the latest strategy from the Trump administration to maneuver the Supreme Court’s February strike down of far-reaching global tariffs. The court’s ruling found tariffs that Trump imposed under an emergency powers law were unconstitutional, including the sweeping “reciprocal” tariffs he levied on nearly every other country.
The majority held that it is unconstitutional for the president to unilaterally set or change tariffs because the power to tax clearly belongs to Congress. “The Framers did not vest any part of the taxing power in the Executive Branch,” Chief Justice John Roberts wrote.
The struck-down reciprocal tariffs were replaced by a global 10% duties that is set to expire this week.
The reported move, which has not been commented on publicly by the White House, comes as President Trump imposed 50% tariffs on most Canadian goods, declaring that Canada has unfairly discriminated against American autos, alcohol, and dairy products.
The move could unleash a new wave of economic chaos, with risks of higher inflation and further fraying of relations between two nations that had been closely woven together before Trump’s return to the White House. The administration official previewing the action said that Canada was one of the only nations other than China that retaliated against Trump’s previous tariffs and must be held accountable.
The official insisted on anonymity on a call with reporters to preview the president’s actions and said that Trump signed three proclamations to launch the tariffs under Section 338 of the 1930 Trade Act. Several Democratic lawmakers last year proposed repealing the section because they said Trump could use it to destabilize the economy.
The new 50% tariffs would exclude energy products, potash, fish and critical minerals, but they would include goods that had previously been protected from import taxes by the United States-Mexico-Canada Agreement, or USMCA. That 2020 trade pact was not renewed by the U.S., triggering a new set of negotiations that could run until 2036.
The White House said in a fact sheet that the tariffs would take effect in 30 days, leaving time for negotiations, as Trump has not always followed through on his announced import tax hikes.
Canadian Prime Minister Mark Carney said in a statement that his government believes in the “benefits of free and fair trade,” having signed “more than 20 new economic and security partnerships.” He said Canada is prepared to negotiate with the Trump administration.
“This trade dispute has raised costs for families, particularly in the U.S.,” Carney said. “Canada stands ready to engage intensively to address outstanding issues with the U.S. to the mutual benefit of our citizens.”
Canada faces risk of trade war
Still, the tariffs could escalate into a wider trade war as Canada seeks to defend its economy. Ontario Premier Doug Ford saw a possible showdown ahead.
“If these tariffs proceed, Canada should respond tariff for tariff, dollar for dollar,” Ford posted on social media.
Candace Laing, CEO of the Canadian Chamber of Commerce, said the Trump administration’s moves were “regrettable” but the two countries need to use the 30-day window before the tariffs start “to make meaningful progress in advancing formal talks.”
Chris Swonger, CEO of the Distilled Spirits Council of the United States, also called for a deal: “We encourage policymakers on both sides of the border to pursue a negotiated solution that restores market access for U.S. spirits and avoids further harm to the U.S. hospitality sector.”
But the use of a Great Depression-era law to impose the tariffs broadens some of the risks, as those tariffs could be applied to other U.S. trading partners, not just Canada, and inject “massive uncertainty” into the global economy, said Scott Lincicome, vice president of general economics at the Cato Institute, a libertarian think tank.
“We crossed the Rubicon,” Lincicome said. “The invocation of 338 is the nuclear option for Trump tariffs.”
