This story appeared in The Logoff, a day by day e-newsletter that helps you keep knowledgeable concerning the Trump administration with out letting political information take over your life. Subscribe right here.
Welcome to The Logoff: Donald Trump’s tariffs are illegal, the Supreme Court docket mentioned on Friday.
What simply occurred? In a 6-3 resolution, the Court docket struck down the sprawling tariffs regime that has been a centerpiece of Trump’s second-term international coverage.
Particularly, the Court docket concluded that Trump’s use of the Worldwide Emergency Financial Powers Act (IEEPA) to impose tariffs is equal to imposing a tax on imports, which he can not legally do.
What does this imply for me? In the meanwhile, most likely not a lot. Simply as costs took time to extend after Trump imposed his tariffs final yr, it can take time for Friday’s resolution to have an effect on costs in the other way (and a few costs could not fall in any respect). However in the long term, my colleague Eric Levitz explains, the Court docket’s resolution may prevent round $1,000 yearly and increase the financial system by easing unemployment and accelerating progress.
Does this imply we’re achieved worrying about tariffs? No. Some tariffs, like these on aluminum and metal, stay in impact, and Trump has already mentioned he’ll try and resurrect the remainder of his tariffs regime utilizing different strategies. In a Friday afternoon press convention, Trump mentioned he would use an untested commerce provision referred to as Part 122 to reimpose a common 10 % tariff, and he has different instruments as effectively.
However no matter he tries to do, it gained’t be practically as straightforward as IEEPA was: How excessive Part 122 tariffs may be, and the way lengthy they continue to be in impact, are each capped.
There’s additionally the query of the tariffs which have already been paid. The Supreme Court docket didn’t handle whether or not that cash can be refunded of their resolution, however some corporations, akin to Costco, have already sued the US to recoup tariffs paid on imports. Extra fits are certain to come back, and the US may very well be on the hook for as a lot as $175 billion.
And with that, it’s time to sign off…
In case you’re not following the story of Punch, the Japanese macaque monkey, I can’t suggest it sufficient — right here’s an lovely video from CBS to get you caught up.
I’m additionally (nonetheless) loving Rodger Sherman’s nice Winter Olympics e-newsletter, which has been protecting me knowledgeable and entertained all Video games lengthy.
Thanks for studying, have an amazing weekend, and we’ll see you again right here on Monday!
