Trump’s trade war now includes his use of the International Economics Powers Act and his rejection of the de minimis exception. Overall, his actions amount to rejection of the post-war system of trade relations and toxic unilateral action, using trade and economic coercion for non- trade purposes. One thing is guaranteed — more domestic and WTO litigation.
“Trump unleashed aggressive new tariffs on imports from Canada, Mexico and China, a day after threatening the EU with high levies. Trump is gambling that he can pressure US trading partners to comply with Washington’s wishes …. These tariffs herald a new era of US trade protectionism that will affect all American trading partners, whether rivals or allies, and will significantly disrupt international commerce …. This could be a trade war on steroids …. The first round was more targeted. Now they seem to be going across the board …. Trump now wants to use tariffs to generate revenue to pay for the extension of trillions of dollars of tax cuts …. As Trump doubles down on tariffs, he faces little resistance from business groups and free-market Republicans.” “Trade War on Steroids’: New Age of US Protectionism.” Financial Times (Feb. 2, 2025).
“Why is free trade such a hard sell? Even though virtually every economist since the sixteenth century has agreed with the case for open markets …. Polls show only tenuous public support for free trade and even less understanding of its virtues …. There is a fundamental disconnect between economic theory and the worldview of the general public …. Perhaps the public sees the central goal of an economic system as providing well-paid jobs, not producing cheap goods …. If so, the standard case for free trade evaporates.” “Free Trade Paradox.” Foreign Affairs (Feb. 2, 2025).
“No president since World War II has been more determined to scuttle the remnants of globalization for unvarnished economic nationalism …. The entire process of trade liberalization was wiped out. “Trumps Tariffs is the End.” New York Tims (Feb. 2, 2025).
“Trump is the first president to use the International Emergency Economic Powers Act to impose tariffs, teeing up likely legal battles that will test his executive authority …. The International Emergency Economic Powers Act, passed in 1977, grants the president broad authority over economic transactions, and a wide range of abilities to deal with “any unusual and extraordinary threat,” stemming in whole or in part from foreign sources. Presidents, including Trump’s predecessor Joe Biden, have used the law to impose economic sanctions on other countries, including on Russia after it launched its 2022 war on Ukraine. But the closest a president has come to citing a national emergency to impose tariffs was when President Richard Nixon used a different law — the Trading with the Enemy Act of 1917 — to levy a temporary universal tariff on all imports in 1971. Trump justified his new by pointing to “the major threat of illegal aliens and deadly drugs killing our Citizens, including fentanyl …. Trump’s use of IEEPA to justify his trade actions doesn’t really pass the red-face test …. The question will be, can you find a judge who will write an injunction to stay the tariffs from going into effect that will be hard, because you’re asking a federal judge to essentially say, ‘I know more than the President does about what an emergency is’ …. What about the WTO? China has already threatened to file a complaint with the World Trade Organization and take unspecified “corresponding countermeasures to firmly safeguard its own rights and interests.” The WTO has previously ruled that the U.S. has illegally imposed duties on China and other countries.” “Trump’s Tariffs and IEEPA.” Politico (Feb. 3, 2025).
“President Trump’s tariff measures included a significant change to trade rules that could increase costs for many products bought online, including on Amazon, Shein and Temu …. This obscure provision of trade law underpins major business models. Shein, Temu and many sellers on Amazon have used the de minimis exemption to bypass tariffs. The exemption allows packages to be shipped from other countries without paying tariffs, as long as the shipments do not exceed $800 per recipient per day.” “De Minimis Knocked Out by Trump.” New York Times (Feb. 3, 2025).
“Soft power is out. Hard power is in. Since returning to the White House, Trump has demonstrated that he prefers to bludgeon, not bargain, his way to foreign policy goals …. Trump has shown a willingness to use American power in a way that most of his modern predecessors have not. His favorite blunt instrument is not military force but economic coercion, like the tariffs. “Favoring Tough Guy in Trade and Foreign Policy.” New York Times (Feb. 2, 2025).
“A growing number of countries, including American allies, are striking trade deals as the Trump administration erects a higher fence around its global commerce …. In just the last two months, the European Union concluded three new trade deals …. By punishing longtime allies with tariffs, Trump is encouraging other nations to form trading blocs and networks that exclude the United States …. The trend is not necessarily anyone’s preference, he said, but the arrangements offer a “second best” option given America’s rejection of a more open economic order.” “Countries Striking Trade Deals.” New York Times (2.2.25).
“The postwar bipartisan consensus that the U.S. prospers by fostering cooperation and integration with allies and neighbors is gone. In its place looms the prospect of continuous trade war driven not by traditional alliances and ideology, but the priorities of the day …. He used a statute, the International Emergency Economic Powers Act, usually reserved for terrorists and rogue states. It imposes almost no waiting period, is unusually broad and is difficult to block by Congress or via the courts. It effectively allows Trump to wage economic war with virtually no notice, oversight or expiration date.” “Trade Threat with Abandon.” Wall Street Journal (2.4.25).


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