‘Trump time’ becomes a liability for president’s tariff agenda
Trump, however, is pursuing his promise to impose high tariffs by any means necessary—and sticking it to those who doubt his resolve and believe he will "chicken out"—now that the core component of his economic agenda is in danger. He and administration officials have stated that they will continue to negotiate with other nations, are adamant that they will prevail in their ongoing legal battle over tariffs, and are even putting backup plans for new levies in case they fail.
Trump's eagerness to act quickly may cause his tariff regime to be implemented more slowly. Additionally, it might damage his reputation with companies he depends on to invest in the United States and with international leaders whose support he needs to negotiate trade agreements.
Few, however, anticipate a change in stance from a notoriously uncooperative president or any reexamination in the wake of the U.S. Court of International Trade's decision on Wednesday, which temporarily suspended the majority of the tariffs.
That will not deter the government in any way, in my opinion. Marc Short, who was vice president Mike Pence's chief of staff during the first term of President Trump and Trump's director of legislative affairs, stated that the president will attempt to use every means at his disposal to exert his tariff authority. "The president does not take loss well. In 2020, he most definitely did not.
It is not as though he will abandon this because of a negative court decision.
The pace at which Trump is implementing his whole agenda, not just trade policy, is viewed as a strength rather than a weakness by his top lieutenants. Senior White House staff members usually attribute any volatility or irregularity in the president's policymaking approach to his dealmaking skills, and trade advisor Peter Navarro, who has been with Trump since his first term, frequently calls the pace "Trump time."
On Friday afternoon, Trump told reporters in the Oval Office, "We have to move quickly." "We must be quick and agile."
According to a Trump ally outside the White House who asked to remain anonymous, Trump may be particularly eager to dispel the idea that he is weak after the nickname TACO, or "Trump Always Chickens Out," gained popularity among Wall Street traders.
The individual stated, "I do not think Trump can back down now, particularly because of this TACO concept." "He is obviously quite annoyed by it, and it now seems to be a challenge to his own manhood."
As Trump arrives in Canada for the G7 summit next month with a slightly softer negotiating stance, European leaders have continued to chafe at the United States' inconsistent approach to trade.
However, the president has made no indication that he intends to abandon tariffs, which he frequently refers to as the "most beautiful term" in the English language.
The legal backlash was dismissed by West Wing insiders as a minor setback rather than a serious danger to a trade policy that is becoming more and more important to the president's economic legacy. There was also no anticipation that Trump would change his maximalist trade stance, even though they objected to the TACO-centric discourse.
According to a White House insider who was given anonymity to speak about internal discussions, "he has been consistent on tariffs and trade since the 1980s." "He is not adamant about this because a taco meme that someone made is going viral."
When an appeals court returns to the case in June, administration officials are preparing contingency plans in case the wide range of penalties they have imposed on U.S. trading partners are once more put on hold in court, as trade lawyers and others in the administration anticipate.
According to two sources who were granted anonymity to discuss the administration's trade policy, one of them is a system that would enable it to swiftly implement tariffs without congressional approval or a more onerous evidence-gathering and review procedure.That plan, one of several being considered, would enable the president to impose levies of up to 15 percent on nations in place of the current 10 percent general tariffs, but only for a six-month period. Then, in order to prolong them, Trump would want the consent of Congress.
The president's trade team has been considering these legal tools for years, so it is crucial to realize that. In an interview with CNBC on Friday morning, U.S. Trade Representative Jamieson Greer stated, "We have a lot of people on TV and the internet who have been thinking about it for about six minutes." Naturally, we have been thinking about and discussing these topics for a very long time. These items are all on the table.
However, the administration may be thwarted once more because so-called Section 122 tariffs, so named because of the section of the Trade Act that describes them, have never been put to the test in court. The White House used emergency powers under a federal law known as IEEPA to swiftly enact the so-called Liberation Day tariffs, a move that a federal judge ruled on Wednesday went beyond his legal authority.
According to Everett Eissenstat, a key trade adviser during Trump's first term and the former deputy director of the National Economic Council, "the president has made clear that tariffs are a central plank of his economic agenda and he is going to use the leverage the tariffs create to drive better outcomes for the U.S." This is true whether you proceed under IEEPA or another authority. "He will proceed regardless of whether this tool is the one or another tool, such as tariff authority."
Even Trump supporters, however, worry that White House officials are not doing enough to advise the president on his best alternatives, caving in to his haste without offering him a comprehensive set of longer-term plans.
Stephen Moore, Trump's outside economic adviser who has long questioned the administration's go-it-alone trade strategy, stated, "Whether you like tariffs or not, it is quite apparent the president does not have unilateral authority to raise taxes." "The fact that Congress will eventually need to vote on tariff policy is very obvious."
Trump tried to show his commitment as advisors discussed how to navigate the maze of impending legal issues.
Trump continued to post on social media on Friday morning with a broadside directed at Chinese President Xi Jinping, following a lengthy post on Thursday night criticizing the International Court of Trade and a decision that he said "would entirely demolish Presidential Power."
Trump claimed that China "HAS TOTALLY VIOLATED ITS AGREEMENT WITH US" and that his sharp cut of the 145 percent tariffs against Beijing was necessary to protect it from "severe economic harm." Greer said the Chinese were "slow-rolling their compliance" with the agreement reached earlier this month, which was the reason for the president's annoyance.
Trump began a lengthy, unstructured press conference at the Oval Office on Friday afternoon by ordering an aide to place an iPad on the Resolute Desk. From there, he played a clip of CNBC's Rick Santelli, whose 2009 tirade sparked the Tea Party movement, praising his economic record. This was perhaps the most obvious indication of the president's defensiveness in the face of Wall Street criticism.
Trump nodded to the reporters and aides standing in front of him and arched his brows as the video aired.
"Is not that okay?" When the video concluded, Trump stated, and Elon Musk, the departing adviser, urged the audience to cheer.
