Courts continue to strike down President Trump's border taxes, but he persists in imposing them, disregarding economic and political harm. His tariff fixation is unyielding, much like Bernie Sanders's disdain for the wealthy.
The U.S. Trade Representative recently introduced new tariffs of 10% to 12.5% on 60 countries. Following the Supreme Court's rejection of the President's emergency tariffs in February, the Administration invoked Section 122 to impose a 10% across-the-board tariff. A federal court ruled those tariffs unlawful last month, and they are time-limited to 150 days.
Mr. Trump is now relying on Section 301, which allows him to impose tariffs in response to 'unfair foreign acts, policies, or practices affecting U.S. commerce.' The first Trump Administration used the law to impose tariffs on China for its mercantilist policies, including intellectual property theft and forced technology transfers.
However, rather than conducting detailed investigations for each country, the trade office declares that they all engage in unfair trade practices by failing to 'impose and effectively enforce a forced labor import prohibition.'
Countries that ban imports using forced labor but fail to 'effectively enforce' their prohibitions will face a 10% tariff. This includes six targets: Canada, Ecuador, the European Union, Indonesia, Mexico, and Pakistan. All other countries will endure a 12.5% tax.
The President's tariff obsession is a self-defeating act, contributing to rising prices and unpopularity, especially in the farm belt. A recent Fox News poll showed that 71% of voters disapprove of his handling of the economy, including 42% of those who voted for the President and 67% of whites without college degrees.
