Supreme Court could limit Trump's tariff power as he threatens new duties

The Supreme Court could soon curtail President Trump’s ability to swiftly impose tariffs, but he has continued to issue new threats against European countries in recent days. Speaking to reporters, Mr. Trump threatened a 200 percent tariff on French wine and champagne unless President Emmanuel Macron joined a “board of peace” Mr.

Trump set up last year for Gaza. Days earlier Mr. Trump had warned that eight European countries would face escalating tariffs unless they agreed to sell Greenland to the United States, a demand European governments described as destabilizing. Legal experts said Mr. Trump would most likely invoke the International Emergency Economic Powers Act, the 1977 law he has used this term to raise and lower tariffs, and which is now under review after lawsuits by small businesses and states alleging he overstepped his authority.

Georgetown law professor Jennifer Hillman said Mr. Trump had abused the law to declare “anything he wants” an extraordinary threat to U.S. security. Markets reacted: by midday Tuesday yields spiked, the S&P 500 fell over 1 percent and the Vix rose to its highest since November; the Treasury secretary attributed the moves to Japanese bond-market issues and urged leaders not to retaliate.

The court could revoke some or all of the tariffs or allow the president’s approach, and administration aides are said to be exploring other options to impose duties if IEEPA is limited, though none would match its flexibility.

Key Topics

Politics, Donald Trump, Ieepa, Supreme Court, Emmanuel Macron, Greenland