'Deeply American problem' with enormous implications

The court decision will not necessarily provide any relief to countries hoping for lower tariffs, reports Rachel Clun

- Rachel Clun

A court has upended Donald Trump’s already ever-changing tariff policies, blocking the sweeping global levies in a significant blow to his administration.

But experts warned that the decision by the United States Court of International Trade will not necessarily provide any relief to countries hoping for lower tariffs or even trading uncertainty with the US.

Dr Leslie Vinjamuri, director of the US and Americas programme at Chatham House, said the ruling – from a court that “most of the world will have never heard of” – was a “major setback” for the president.

But the decision, which has already been appealed by the Trump administration, is not any real cause for relief for American trading partners. On 2 April, the US president announced high tariffs on nearly every trading partner, setting a sweeping baseline tariff of 10 per cent for most, while announcing even higher duties for dozens of other nations, including India and China.

Since then, tariffs have been paused for some countries; tariffs on Chinese goods rose to 145 per cent before being cut to 30 per cent; and as recently as last week, Mr Trump threatened to lift duties on European Union goods to 50 per cent.

So, what does the court decision do to this landscape?