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Canada welcomes U.S. Supreme Court ruling on Trump-era tariffs.
Summary
The Canadian government welcomed a U.S. Supreme Court decision that struck down the legal basis for certain tariffs imposed under the International Emergency Economic Powers Act (IEEPA); the ruling does not affect U.S. levies on steel, aluminum and autos, and the U.S. president said he would pursue other tariff measures.
Content
The Canadian government welcomed a U.S. Supreme Court decision that struck down the legal basis for several tariffs imposed under the International Emergency Economic Powers Act (IEEPA). The court's ruling affects duties described as "fentanyl tariffs" and so-called "Liberation Day" or reciprocal tariffs. The decision does not change U.S. tariffs on Canadian steel, aluminum and autos, which were imposed under different authority. The U.S. president responded by announcing plans to pursue other tariff measures, including a proposed 10-per-cent global tariff and expanded use of Section 232.
Key facts:
- The U.S. Supreme Court found the IEEPA did not provide a legal basis for some recent tariffs, including those labeled as fentanyl and reciprocal duties.
- Tariffs on steel, aluminum and autos remain in place and were not affected by the ruling.
- The U.S. president announced a plan for a 10-per-cent global tariff under different legislation and said he would increase use of sectoral tariffs under Section 232.
- The U.S. Department of Commerce has opened additional Section 232 investigations into industries such as aircraft, critical minerals and pharmaceuticals.
- Canada's International Trade Minister Dominic LeBlanc said the decision reinforces Canada's position that the IEEPA-based tariffs were unjustified.
- Separately, Dr. Joss Reimer was announced as Canada’s new chief public health officer and is set to begin a three-year term on April 1.
Summary:
Canadian officials say the court decision bolsters their arguments against tariffs imposed under the IEEPA. The implementation and effects of the alternative U.S. tariff measures the president announced are undetermined at this time.
