Tariffs have long been seen by President Trump as a powerful tool for increasing income, promoting manufacturing, and facilitating international sales for American businesses.
By attempting to interfere in another nation’s politics this week, he used the threat of heavy penalties in a more creative way, which has led to fresh legal concerns regarding the president’s authority over trade.
Mr. Trump attacked Brazil on Wednesday, threatening to impose a 50% tariff on its exports to the US beginning on August 1. Not only was the high rate noteworthy, but he also connected the harsh tax to Brazil’s treatment of former President Jair Bolsonaro.
The way the Brazilian government has handled Mr. Bolsonaro, who is accused of attempting to stage a coup and hold onto power beyond a 2022 electoral loss, has drawn harsh criticism from Mr. Trump. According to Mr. Trump, the accusations were a witch hunt, and he seemed to be urging the Brazilian courts to intervene on Mr. Bolsonaro’s side, or else the nation would soon be subject to harsh trade sanctions.
Legal experts questioned whether the president had the right to impose tariffs for solely political reasons, calling Mr. Trump’s public reprimand important. Although the president may take independent action in certain legally specified situations, including to safeguard national security, Congress largely has the authority to impose import taxes.
This week, Mr. Trump did refer to other economic justifications for imposing the high new tariffs on Brazil, falsely asserting at one point that the US has a trade deficit with the nation. The United States really imports less items from Brazil than it exports.
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