Treasury Secretary Scott Bessent expressed confidence that President Trump’s tariff plan will prevail in the Supreme Court. He cautioned, though, that if the court rules against the tariffs, it could lead to massive refunds—around half of the collected tariffs, which could pose a serious issue for the Treasury.
Recently, the Trump administration sought an expedited ruling from the Supreme Court following a federal appeals court decision that deemed most of his tariffs illegal. The appeals court found that Trump overstepped his authority by introducing “reciprocal tariffs” on many countries. The ruling won’t take effect until October 14, giving the administration time to appeal.
Bessent warned that a delay in the Supreme Court’s decision could lead to the collection of $750 billion to $1 trillion in tariffs before any refunds are demanded. This situation could offer a significant financial windfall for affected businesses and entities.
About 70% of U.S. goods imports were set to be affected by these tariffs, according to the Tax Foundation. If found illegal, only roughly 16% would remain impacted. While some officials are optimistic about a favorable ruling, contingency plans are in place should the tariffs be blocked.
National Economic Council Director Kevin Hassett mentioned that the administration has other methods to implement tariffs if needed. One possibility is using Section 232 of the Trade Expansion Act of 1962, which allows the president to impose tariffs on imports that might threaten national security.
Additionally, the recent change to eliminate the “de minimis exemption” on items valued at $800 or less has already led to a decline in U.S.-bound postal traffic, dropping by more than 80%, according to the Universal Postal Union. This highlights the far-reaching impacts that tariff policies can have not just on trade, but also on logistics and consumer prices.
In conclusion, the fate of these tariffs hangs in the balance as the Supreme Court prepares to deliberate. The outcome could have significant implications for U.S. businesses, consumers, and the overall economy. For more details about U.S. tariffs and their effects, check reliable sources like the Tax Foundation and NBC News.
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Kevin Hassett,Tariff,U.S. Department of the Treasury,Secretary of the Treasury,Scott Bessent,Donald Trump,Breaking News: Politics,Politics,Breaking News: Economy,Economy,U.S. Economy,Donald J. Trump,business news
