Trump: “Losing Reciprocal Tariffs Lawsuit Could Impoverish U.S. and Endanger Trade Deals”
On the 3rd (local time), U.S. President Donald Trump warned that if the United States ultimately loses a lawsuit over reciprocal tariffs, it may have to renegotiate trade agreements with several partners, including South Korea.
Before meeting with Polish President Karol Nawrocki at the White House, Trump told reporters, “If we lose the (reciprocal tariffs) lawsuit, America will become much poorer, and trade agreements signed in recent months could fall into jeopardy.”
Trump emphasized that “every deal (trade negotiation) is off” and stated, “If we lose the case on reciprocal tariffs, we might have to roll back the deals made with South Korea, the European Union, and Japan.”
On the 29th of last month, the Federal Circuit Court of Appeals ruled that under the International Emergency Economic Powers Act (IEEPA), the Trump administration’s imposition of tariffs, like those on fentanyl for Mexico, Canada, and China, and reciprocal tariffs on global trade partners, was illegal. While IEEPA provides the president with broad powers to address national emergencies, it does not include tariffs.
In response, Trump announced during a White House briefing that “this issue (reciprocal tariffs lawsuit) is headed to the Supreme Court” and plans to request an expedited hearing and a swift judgment.
The nine Supreme Court justices, who will make the final ruling, are categorized as six conservatives and three liberals. Members of the Trump administration, including Treasury Secretary Scott Vosent, believe the Supreme Court will recognize Trump’s authority to impose tariffs. Even if the Supreme Court sides against them, they have stated they will continue to impose tariffs based on other legislation such as the Tariff Act of 1930.
Meanwhile, in the meeting with President Nawrocki, Trump mentioned he does not intend to reduce the number of U.S. troops stationed in Poland but is considering reductions in other countries.