According to a report by the Wall Street Journal, President Donald Trump is considering the imposition of additional tariffs under Section 232 of the Trade Expansion Act following a recent Supreme Court ruling that invalidated certain tariffs. These new tariffs could target approximately six industries, including large-scale batteries, cast iron and steel components, plastic piping, industrial chemicals, as well as power grid and telecommunications equipment. The Department of Commerce is screening products that could potentially be affected, as these tariffs are justified under the rationale of protecting national security.

The Section 232 provisions allow the President to impose tariffs if certain imports are found to threaten national security. While there are no legal limits on the tariff rates or duration, an investigation by the Department of Commerce is required prior to implementation. This means that once tariffs are enacted, the President has broad discretion to adjust the rates alone. President Trump has already applied Section 232 tariffs to a range of products including steel, aluminum, copper, automobiles, and auto parts in his second term, with investigations ongoing for nine additional industries such as semiconductors and pharmaceuticals.

In light of the recent Supreme Court ruling that deemed tariffs imposed based on the International Emergency Economic Powers Act (IEEPA) unconstitutional, this potential move signifies a strategic shift in trade policy. The Wall Street Journal also mentioned structural changes to the current steel and aluminum tariff framework, which could significantly increase corporate tax burdens despite potentially lower nominal tariff rates. This adjustment could transform how tariffs affect overall product values, thereby altering the economic landscape for affected industries significantly.