Trump Team Floats Trade Tariffs

CNN reports:

The Trump transition team is floating the possibility of an early executive action to impose tariffs on foreign imports, according to multiple sources. Such a move would deliver on President-elect Donald Trump’s “America First” campaign theme. But it’s causing alarm among business interests and the pro-trade Republican establishment.

The Trump transition team didn’t immediately respond to a request for comment on the prospect of new tariffs. But a transition official said the team has discussed implementing a border adjustment tax measure under consideration by House Ways and Means Committee Chairman Kevin Brady, which would tax imports to spur US manufacturing.

The business lobbying community is confident the GOP leadership would push back on any legislative effort to impose tariffs, which organizations like the Chamber of Commerce, the Business Roundtable, the National Association of Manufactures and others, including groups representing farmers, believe would lead to retaliation against US industries heavily dependent on exports.

But the sources aligned with those interests told CNN the conversation within the Trump transition includes using executive authority allowed under existing trade laws. Different trade laws enacted over the course of the past century allow the president to impose tariffs if he issues a determination the United States is being subjected to unfair trade practices or faces an economic or national security threat because of trade practices.