Feb 25 • 15:26 UTC 🇨🇦 Canada National Post

Trump is running out of tariff cards to play ahead of CUSMA review

The article discusses President Trump's continued reliance on tariffs despite legal setbacks, as he responds to a Supreme Court decision with new global tariffs ahead of the CUSMA review.

The article details President Trump's ongoing struggle with tariff policies as he faces a Supreme Court ruling that halts his year-long imposition of tariffs under the International Emergency Economic Powers Act (IEEPA). Following the ruling, Trump expressed his displeasure and quickly enacted a 10 percent global tariff under Section 122 of the Trade Act of 1974, a move intended to balance international trade deficits. This abrupt decision was not enough for Trump; he swiftly indicated his intention to increase the tariffs to the maximum of 15 percent.Acting on this impulse reflects Trump's well-established approach to trade, where tariffs are used as leverage both domestically and internationally. This approach not only affects trade dynamics with Canada and Mexico under the Canada-United States-Mexico Agreement (CUSMA) but also has significant implications for global trading partners who rely on U.S. markets. As the CUSMA review approaches, questions arise about how these new tariffs will impact negotiations and overall trade relations with Canada and Mexico, especially given the agreement's backdrop of tariff exemptions.

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