Washington, February 24: The U.S. is preparing to impose hefty tariffs on several products following a recent Supreme Court ruling. These products may include large batteries, cast iron, plastic pipes, industrial chemicals, power grid components, and telecom equipment.
If the U.S. implements these new “national security” tariffs, it could significantly impact countries like India, particularly in the export of metals, chemicals, and industrial parts, as these items are integral to the global supply chain.
According to a report by The Wall Street Journal, these tariffs could be enacted under Section 232 of the Trade Act of 1962. This provision allows the President to impose tariffs on imports for reasons of “national security.”
The Financial Daily noted that these new tariffs would be separate from the proposed global 15% tariffs that former President Trump suggested maintaining for five months.
Section 232 has previously been used to impose tariffs on steel, aluminum, copper, cars, and auto parts. It remains unclear when the new investigations will commence and when the tariffs will take effect.
While Section 232 requires a lengthy investigation process, once tariffs are in place, duties can be unilaterally adjusted.
White House spokesperson Kush Desai stated, “Protecting America’s national and economic security remains the top priority for President Trump, and the administration is committed to using every legal authority to achieve this.”
Recently, the Supreme Court ruled 6-3 to eliminate most of Trump’s tariffs under the International Emergency Economic Powers Act. However, media reports indicate that the ruling did not address Section 232 tariffs.
U.S. courts and trading partners have been scrutinizing trade policies from the Trump administration. Previous tariffs on steel and aluminum prompted retaliatory actions from several countries, including India.
–
Leave a Comment