How Trump's Tariff Tools Keep Consumer Prices High

Trump's signature tariffs may have been struck down by the Supreme Court, but the President still has a number of tools at his disposal to keep consumer prices high, according to economic analysts.

While the court ruled that the president overstepped his authority in levying certain tariffs, Trump can still use other avenues to impose duties on imported goods, preventing any significant drops in prices for American shoppers. This is because the president wields broad executive powers when it comes to trade policy, allowing him to circumvent the court's decision.

"The president has a lot of flexibility in how he can use tariffs, even after this ruling," said Sarah Binder, a political science professor at George Washington University. "Consumers shouldn't expect to see prices fall anytime soon."

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One of Trump's main tariff tools is the ability to declare a national security threat, which then enables him to impose duties under the little-used Section 232 of the Trade Expansion Act of 1962. This could potentially apply to a wide range of imports, from cars to steel to pharmaceuticals.

The president can also work with Congress to pass new trade legislation that gives him more authority to raise tariffs. And he may seek to renegotiate existing trade deals, like the United States-Mexico-Canada Agreement (USMCA), in a way that allows for more tariffs.

"Trump has shown he's willing to use every tool at his disposal to keep import prices high and protect American industries," said Chad Bown, a senior fellow at the Peterson Institute for International Economics. "The court ruling is really just a speed bump for him."

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Ultimately, the president's expansive trade powers mean consumers are unlikely to see significant relief on the price of goods anytime soon, the analysts say. While Trump may have lost one avenue for imposing tariffs, he retains a number of other options that could keep prices elevated.

"The president has a whole toolbox of ways he can raise import duties," said Binder. "And he's shown he's not afraid to use them, regardless of what the courts say."

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