Trump tariffs set for big Supreme Court rulings, Amazon makes shocking announcements. What does this mean for Donald Trump?
Trump Tariffs
The justices expressed skepticism during arguments on Nov. 5 over the legality of Trump’s sweeping tariffs in a case with implications for the global economy that marks a major test of Trump’s powers. Conservative and liberal justices sharply questioned the lawyer representing the Trump administration about whether a 1977 law to be used in national emergencies gave Trump the authority to impose tariffs or whether the president was encroaching on the powers of Congress.
But some conservative justices also emphasized the inherent authority of presidents in dealing with foreign countries, suggesting the court may be sharply divided over the outcome of the case. Lower courts ruled that Trump overreached in invoking a 1977 law known as the International Emergency Economic Powers Act to impose tariffs that were challenged by several businesses and 12 U.S. states. A decision is expected by the end of June.
Amazon
The report, based on several seller consultants, stated that Amazon expects discounts from suppliers ranging from low single digits to up to 30%.
The world’s largest e-commerce platform has accelerated talks with some suppliers by several “weeks” and is trying to set a deadline of January 1 in individual cases, the report said. Last year, Amazon agreed to increase the price it paid some suppliers for tariffed products in exchange for them guaranteeing minimum margins. The FT said the company sells products directly and hosts third-party retailers on its platform, which account for more than 60 percent of sales.
If the court declares that the sweeping tariffs Trump has imposed under the International Emergency Economic Powers Act are illegal, the administration faces the possibility of having to refund nearly $150 billion in tariffs paid to importers.
