#balance-of-payments

[ follow ]
#tariffs #trade-deficit #economic-policy #international-finance #section-122 #trade-act-of-1974 #legal-challenge
US politics
fromFortune
3 days ago

America's $901 billion trade deficit is like 'chronically high cholesterol,' top economist says, and Trump's 150-day tariffs are the wrong medicine | Fortune

The U.S. trade deficit is not a crisis because America can afford to pay its international obligations through foreign investment in U.S. assets.
fromFortune
6 days ago

Trump's plan B to impose new tariffs is also illegal as a balance-of-payments deficit doesn't exist, trade experts say | Fortune

For the first time ever, the U.S. is invoking Section 122 of the 1974 Trade Act, which allows tariffs of up to 15% for as long as 150 days to quickly address international payments problems. On Saturday, Trump hiked his new tariffs to 15%, less than 24 hours after setting them at 10% in an executive order. That's after the Supreme Court ruled the president has no authority to apply tariffs under the International Emergency Economic Powers Act.
US politics
[ Load more ]