Untested in court, Trump’s new tariffs on Canada raise legal questions
The move triggered dollar-for-dollar retaliation from Ottawa and tested a rarely used tariff power that has never been challenged in court.
- On August 21, President Donald Trump invoked Section 338 of the Tariff Act of 1930 to impose a 50% tax on $20 billion worth of Canadian imports, marking the first presidential use of the Depression-era statute.
- The Trump administration cited Section 338 to sanction Canada for alleged discrimination against U.S. dairy, auto, and alcoholic beverage exports; the law is part of the notorious Smoot-Hawley Act, which sat unused since the Great Depression.
- Legal scholars Peter Harrell and Jennifer Hillman argue the administration failed to calculate actual damages from alleged discrimination, while Liberty Justice Center CEO Sara Albrecht suggests newer trade laws likely superseded the obscure statute.
- Dollar-for-Dollar retaliatory tariffs from Ottawa strained relations between the allies, and no plaintiffs have yet filed a formal lawsuit challenging the administration's reliance on the untested legislation.
- Albrecht noted a chance that both countries could resume talks broken off August 21 to reach a compromise, even as the administration continues collecting these import taxes.
26 Articles
26 Articles
For his latest tariffs, Trump used a statute so obscure many lawyers didn’t even know it still existed. 'This law is literally a blank canvas'
In firing up a trade war with Canada, President Donald Trump turned to a 96-year-old statute so obscure that many trade lawyers didn’t even know it was still on the books. A week ago, Trump invoked Section 338 of the Tariff Act of 1930 to slap a 50% tax on $20 billion worth of Canadian imports. The move prompted dollar-for-dollar retaliation from Ottawa and strained already-tense relations between the neighbors and longtime allies. The president…
My Mother Lode
Untested in court, Trump’s new tariffs on Canada raise legal questions
WASHINGTON (AP) — In firing up a trade war with Canada, President Donald Trump turned to a 96-year-old statute so obscure that many trade lawyers didn’t even know it was still on the books. A week ago, Trump invoked Section 338 of the Tariff Act of 1930 to slap a 50% tax on $20 billion...
Associated Press News
Untested in court, Trump's new tariffs on Canada raise legal questions
In firing up a trade war with Canada, President Donald Trump turned to a 96-year-old statute so obscure that many trade lawyers didn’t even know it was still on the books.
Trump activated the 1930 Tariff Act to apply 50% over $20 billion in imports from Canada; Ottawa responded with equivalent retaliation
The new tariffs imposed by the American President, Donald Trump, on Canada raise legal questions in the United States.
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