Trump is quietly preparing "Plan B" to impose additional tariffs

Sunny Worldwide LogisticsIt is a logistics company with more than 20 years of transportation experience, focusing on markets such as Europe, the United States, Canada, Australia, and Southeast Asia. It is more of a cargo owner than a cargo owner~

According to Securities Times, a U.S. official familiar with relevant planning revealed that the U.S. Department of Commerce and the Office of the U.S. Trade Representative have both studied options related to "Alternative Plan B": these plans will come into play if the court rules that the government's tariff policy is invalid.

These backup plans would be based on Sections 301 and 122 of the US Trade Act, which give the president the power to unilaterally impose tariffs.

The U.S. Trade Act was promulgated in 1974, and Article 301 authorizes the U.S. Trade Representative to initiate investigations into other countries’ “unreasonable or unfair trade practices” and recommend the president to impose unilateral sanctions. Section 122 of the Trade Act authorizes the president to impose tariffs of up to 15%, but the maximum period is only 150 days.

So while backup options exist, these two bills mean that backup bills still have limitations - they tend to be either shorter-lived or more limited in effectiveness, and may still face further legal challenges.

Trump's tariff determination

Currently in public, Trump still holds out hope that he can achieve a complete victory on the issue of "reciprocal tariffs". Trump has repeatedly urged U.S. justices to support his tariff policies, saying the tariffs were imposed "based on U.S. national conditions" and citing economic emergencies.

However, the U.S. government has begun preparing alternative plans, which may be the latest signal that the government senses that adverse outcomes may occur. Previously, in oral arguments this month, the U.S. Supreme Court expressed doubts about Trump’s global tariff policy.

These moves also show that Trump is indeed determined to implement tariff policies, including through some untested methods. Regardless of the court's ruling, tariffs will remain a centerpiece of Trump's economic agenda, an administration official said.

"We are waiting for the ruling. We hope the result is good, but if not, we will try our best, you know, we will try our best." Trump said this last Wednesday.

The White House declined to comment on the specifics of its preparations but admitted it was seeking "new ways" to maintain Trump's trade policies.

It is worth mentioning that the White House has also recently adjusted the scope of application of "reciprocal tariffs" and excluded agricultural products such as coffee, bananas, beef, tea, spices, tomatoes, avocados, coconuts, oranges, and pineapples from the additional tariff list of Trump's "reciprocal tariffs" order. The updated tariff exemption table and the list of potential adjustments to "alliance partners" will take effect from 0:00 on November 13.

In recent weeks, Trump has also raised the possibility of a tariff "dividend" in the form of ,000 checks to many Americans. Trump said he was considering issuing the tax rebate checks "probably in the middle of next year, or a little later," but officials such as U.S. Treasury Secretary Bessent later added that it would require congressional approval.