President Donald Trump is introducing new trade measures with the same protectionist objectives after the Supreme Court ruled his broad global tariffs unlawful. According to a Bloomberg report, the administration aims to reconstruct a wall of import taxes similar to those imposed on all major trading partners at the start of his second term.

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To improve the legal standing of the tariffs, many countries now face investigations into alleged trade unfairness. The two most prominent probes focus on forced-labor practices and excess industrial capacity. These actions are being conducted under Section 301 of the Trade Act of 1974. Not every nation is subject to these investigations, and when the temporary 10% across-the-board tariffs expire at the end of July, some countries may gain a competitive advantage with lower rates than before, while others could face higher duties.

The administration has also used exemptions for imports it does not wish to make more expensive, such as artificial intelligence equipment, farm tractors, and Brazilian coffee. Conversely, it has added items to broaden the scope of tariff targets. Another unresolved matter involves economies like India, the European Union, Japan, South Korea, and the United Kingdom, which have trade agreements capping their tariff rates at lower negotiated levels, particularly on automobiles. US officials have tried to reassure these partners that their agreements remain intact.

US Trade Representative Jamieson Greer’s trip to India this week may offer a preview of what countries with such deals can expect. India’s commerce and industry minister, Piyush Goyal, stated at a press briefing that the pending issue is that India’s duties need to be lower compared to those of competing nations, according to local news agency ANI.

Under the Liberation Day levies, the Philippines faced a 19% rate. That country will instead be subject to a 12.5% tariff if the forced-labor penalties are imposed as proposed. It is not part of the excess capacity probe, so no further duty increase is expected later.

Source: IndexBox Market Intelligence Platform