'Will bring America back to brink of economic catastrophe’: Trump administration urges Supreme Court to allow tariff imposition

On Wednesday (September 3), the Trump administration urged the Supreme Court to flip the ruling by a lower court that invalidated the tariffs America has ambitiously levied on countries across the globe. Anybody trading with the US will have to face taxes imposed on goods. US Solicitor General D. John Sauer has asked judges to decide by September 10, also highlighting ‘tariffs are promoting peace and unprecedented economic prosperity’, further mentioning that denial of this will bring ‘America back to the brink of economic catastrophe’.

What happens next?

If the high court hears the appeal, it would have a huge impact on Trump’s tariff goals and also have an impact on businesses, the US economy and trade.Last week, the US Court of Appeals for the Federal Circuit ruledthat Trump did not have the authority to impose tariffs under a 1977 law, it has also put its ruling on hold until mid-October.

Mentioning tariffs, Trump wrote on X, “Without Tariffs, and all of the TRILLIONS OF DOLLARS we have already taken in, our country would be completely destroyed, and our military power would be instantly obliterated. In a 7 to 4 opinion, a radical left group of judges didn't care, but one Democrat, Obama appointed, actually voted to save our Country. I would like to thank him for his Courage! He loves and respects the USA.”

An average of 10%-25% tariffs has been levied on different countries. But recently, a 50% tariff was levied on India, which came into effect at 9.30 AM on Wednesday (August 27) morning. Left, right and centre, the Trump administration is out there slapping tariffs on countries exporting goods into America. Of late, it is India's oil trade with Russia that has not gone down well with the US president. He had warned that an additional 25% tariff shall be imposed. Essentially, the 50% will impact $48.2 billion worth of export merchandise. This is likely to impact the exports of garments, jewellery, gems, footwear, furniture and chemicals.