Tariffs

NBC News - The European Parliament halted the ratification process of a sweeping trade deal with the United States, the latest fallout from the Supreme Court striking down most of President Donald Trump's tariffs. The deal reached between Trump and European Commission President Ursula von der Leyen last July would have eliminated what the White House called "trade barriers" in a variety of sectors for American exporters. The administration hailed the deal as a "generational modernization of the transatlantic alliance." NPR - President Trump announced Saturday that he plans to raise global tariffs from 10% to 15%. The move comes one day after the Supreme Court struck down the president's use of emergency powers to impose tariffs under the International Emergency Economic Powers Act. After the ruling, the president claimed he had the authority to impose a global tariff using some sections of the Trade Act of 1974.

These sections are more cumbersome than the sweeping powers Trump previously claimed, NPR’s Mara Liasson tells Up First. Some tariffs will only last 150 days before Congress has to weigh in. Others could be permanent, but require months of investigation. The high court’s ruling meant that Republicans wouldn’t have to defend Trump’s extremely unpopular tariffs, Liasson says. But now, Congress will have to show its loyalty to the president by voting to impose new tariffs, which they aren’t interested in doing. A vote would force lawmakers to take more ownership of a policy that voters believe has driven up their costs.  China has been a major target of Trump’s tariffs. NPR’s Jennifer Pak, who is in Shanghai, reports that Chinese businesses that deal with the U.S. are cautiously optimistic about the Supreme Court’s ruling. They have dealt with uncertainty since Trump’s first term. The president has used tariffs against China as a threat to lower the trade deficit, stop intellectual property theft and more. Trump is expected to visit China in the coming weeks. Friday’s Supreme Court decision, in theory, has now weakened his hand, Pak says.