President Donald Trump is considering expanding item-specific tariffs based on national security threats in response to a U.S. Supreme Court ruling on intergovernmental tariffs, The Wall Street Journal (WSJ) reported on the Monday, citing sources.
The review includes large batteries, cast iron and iron fittings, plastic pipes, industrial chemicals, and power grid and communication equipment. These tariffs are expected to be imposed under Section 232 of the Trade Expansion Act of 1962.
Section 232 of the Trade Expansion Act allows the Commerce Secretary to impose tariffs on imports deemed a threat to U.S. national security, based on investigations and recommendations. The broad definition of national security gives the administration significant interpretive discretion, with no upper limit on tariff rates.
This action is separate from the 15% global tariff being pursued under Section 122 of the Trade Act of 1974. The global tariff is a temporary 150-day measure requiring congressional approval for extension. Given Trump’s tendency to bypass congressional procedures, he’s likely preparing follow-up measures for after the 150-day period.
Following the Supreme Court ruling, Trump announced on Truth Social that he would initiate an investigation into unfair trade practices under Section 301 of the Trade Act. He stated he would determine and implement new legal tariffs within months. Trump also cited Section 201 of the Trade Act of 1974 and Section 338 of the Tariff Act of 1930 as additional legal grounds.
During his second term, Trump has already applied item-specific tariffs based on Section 232 of the Trade Expansion Act on steel, aluminum, copper, automobiles, trucks, and auto parts. These measures remain unaffected by last week’s Supreme Court ruling.
The WSJ reported that the timing of this Commerce Department-led investigation announcement and the actual tariff implementation remains uncertain. While Section 232 tariffs require lengthy investigations before imposition, once implemented, the president has substantial unilateral authority to adjust the terms.
The Trump administration is also reviewing tariffs on nine industries, including semiconductors, pharmaceuticals, drones, industrial robots, and polysilicon for solar panels, based on existing Section 232 investigations. Many of these probes began about a year ago and could accelerate following the Supreme Court ruling, according to the WSJ.
Additionally, the administration continues efforts to revise existing national security tariffs on steel and aluminum. This revision will likely involve applying tariffs based on overall product value rather than metal content, potentially increasing the actual tariff burden for many companies.