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Can Donald Trump impose tariffs without Congress’ approval? And who has the power to stop him? | Updates on Trade War


US President-elect Donald Trump, known for his protectionist stance on trade, has wasted no time in proposing more stringent tariffs on US trading partners following his election win. These proposed tariffs include imposing a 25 percent tariff on goods from Mexico and Canada, as well as an additional 10 percent tariff on goods from China. Economists warn that if these tariffs are implemented, it could lead to a reactivation of inflation, a key issue Trump rode to victory in the 2024 election.

Experts agree that consumers would ultimately bear the burden of these tariffs in the form of higher prices for goods, outweighing any potential economic benefits. Trump’s proposed tariffs could cost a typical family thousands of dollars annually, and impact a wide range of goods including food, gasoline, and construction materials.

While legally Congress holds the power to impose tariffs, over the years, laws have been passed ceding some of that power to the president. Trump could potentially use various existing provisions, such as Section 232 of the 1962 Trade Expansion Act, which allows for tariffs if national security is threatened, or Section 301 of the 1974 Trade Act, which allows tariffs for violations of trade agreements.

Opposition to these tariffs could come in the form of legal challenges, Congressional legislation, or retaliatory tariffs from US trading partners. However, there are no surefire ways to stop Trump from imposing these tariffs, and the potential economic damage from such actions could potentially lead to a backlash from US consumers and retailers.

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Photo credit www.aljazeera.com

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