Trump's Tariff 'Plan B': Court Loss Won't End Trade War, India Faces Prolonged Uncertainty

World
M
Moneycontrol•09-01-2026, 20:27
Trump's Tariff 'Plan B': Court Loss Won't End Trade War, India Faces Prolonged Uncertainty
- •A court ruling against Trump's tariff regime is unlikely to end the trade saga, forcing the administration to change tactics.
- •Legal experts and economists state that even if courts strike down Trump’s preferred tariff mechanism, alternative legal routes exist.
- •US Treasury Secretary Scott Bessent confirmed at least three other mechanisms under the 1962 Trade Act could sustain tariffs.
- •Fallback options include Section 232 (national security), Section 301 (unfair trade practices), Section 122 (balance-of-payments), and Section 201 (safeguard measures).
- •For India, this means prolonged uncertainty, as new duties could quickly come into force via alternative legal routes, complicating trade negotiations.
Why It Matters: Trump's administration has multiple fallback options to continue tariffs, ensuring prolonged trade uncertainty for countries like India.
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