US President Donald Trump is preparing to sign executive orders at the White House oval office in Washington, DC, on May 23, 2025.
Mandel and | AFP | Gety pictures
US President Donald Trump It is expected to find an alternative solution yet It suffers from a big blow To an essential part of his economic agenda.
the American International Trade Court Wednesday Ruling The president has exceeded his authority by calling the IEEPA law to impose a comprehensive tariff on many countries.
The Manhattan -based court has not requested its headquarters to a permanent stoppage of most of the Trump tariff, but also prevented any future adjustments to them.
A committee of three White House judges gave 10 days to complete the official operation to stop the definitions. The Trump administration appealed quickly.
Economists in Goldman Sachs The White House said he has some tools at its disposal, which can ensure that it is just a temporary problem.
“This ruling represents a setback for management tariff plans and increased uncertainty, but it may not change the final result of most major trade partners in the United States,” said analysts in Goldman Sachs in a research note.
“At the present time, we expect the Trump administration to find other ways to impose definitions,” they added.
Options on the table
The Wall Street Bank said that the ruling blocs are the 10 % foundation tariff that Trump imposes on most imports, as well as the additional customs tariffs in China, Canada and Mexico – but not the sectoral tariff, such as that imposed on steel, aluminum and cars.
However, the Trump administration has other legal means to impose definitions, according to Goldman. This includes Article 122 of the 1974 Trade Law, Article 301 and Article 338 of the 1930 Trade Law.
Section does not require an official investigation procedure, and therefore it can be one of the most highways to wrap at the road checkpoint.
“The administration can replace a 10 % tariff on board with a similar tariff of up to 15 % under Article 122,” said analysts in Goldman. However, they indicated that such a move will only last for up to 150 days, after which the law requires a procedure for Congress.
Trump can also launch investigations in Section 301 on the main American commercial partners, and laid the bureaucratic basis for definitions, although Goldman said this process would take at least several weeks.
The scope of customs tariffs, section 232, already located for steel, aluminum and automatic imports, can also be expanded to other sectors, while section 338 allows the president to impose up to 50 % fees on imports from countries that distinguish against the United States
Goldman indicated that the latter had not been used before.
What about the Supreme Court?
James Ransdale, a partner in the law firm Casidi Levi Kent, said the court’s opinion is the first among many other cases that are still pending – and the first fundamental opinion of the Federal Court “to really treat prosecutors meat.”
Ranzel said that the speed of the Trump administration’s appeal was “very unusual”, and indicates that the government can work all night to prepare its request for emergency.
He added that “certainly a possibility” could end up with the Supreme Court until it has the last statement.
“There are not many precedents in this particular statute and similar procedures by the president, so there may be interest that the Supreme Court is taking this matter,” CNBC told CNBC.China’s connection“Thursday.
Traders work on the New York Stock Exchange floor during the morning trading on May 27, 2025 in New York City.
Michael M. Santiago Gety pictures
Stephen Blitz, chief American economist at Ts Lombard, said that Trump has a “very good” level of understanding how the courts play to get what he wants in terms of playing time.
“The first thing he will do is an emergency appeal to the Supreme Court … the desire to obtain a ruling from them is mainly that you can maintain these definitions in their place during the passage of the appeal.”
He added: “This was the executive that resembles the king, at some point, to the courts … and the difference between being a king and a constitutional democracy is the legal system.”
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