US press questions Trump’s fares and provides discharge from inflation

The United States press began to openly question the legality of the 50% tariff announced by Donald Trump about all Brazilian products. According to New York Times and NBC Newsthe measure has no real economic foundation, but would be used by the president to retaliate Brazil due to the trial of Jair Bolsonaro, who is responsible for attempted coup.

Both vehicles also point out that the new fare can cause domestic inflation, raising the price of basic consumption products such as coffee and orange juice.

In matter signed by Tony Romm, the New York Times He pointed out that Trump tries to use fares as an instrument of political pressure against governments he considers hostile.

The newspaper recalls that the US president attacked the Brazilian authorities for putting Bolsonaro on the defendants’ bank and suggested that the country’s courts should innocent-under penalty of commercial sanctions.

“Trump linked the threat of 50% tariff to Brasilia’s treatment to former President Jair Bolsonaro,” the report says. For Sidley Austin lawyer Ted Murphy, “it is unclear which authority the White House could invoke to impose tariffs on Brazil on this reason.”

Also read: After Trump’s tariff, orange juice and coffee are discharged in the US bag

Also read: “These people won’t play with Brazil,” says Lula about Trump bravado

Coffee and orange price should climb the USA

In a more direct tone, the NBC He classified Trump’s letter to Brazil as “different from others” for focusing more on foreign policy than in commerce. The US President sent 22 letters to countries this week that will be overcharged until August.

The television channel stressed that the United States has commercial surplus with Brazil and that the new fare would harm the American consumers themselves.

“You will notice this at your breakfast table,” said the reporter to list affected products: “Coffee and orange juice. We bought tons of Brazil.”

The report warned that the price increase may already occur as of August 1, expected date for the entry into force of the fare, if there is no agreement between the countries.

O New York Times He also pointed out that Trump’s fares are already being challenged in court in the US, and that a federal court ruled in May that the president has exceeded his authority by using the Economic Powers in international emergencies (IEEPA) to justify rates without the end of Congress.

Measure can reach the Supreme Court

Since the beginning of his first term, Trump has broadly interpreted YEEPA, claiming that it allows him to impose unilateral rates without the approval of Congress – which has already been contested by federal courts.

In May, the federal court stated that the president “has no unlimited authority to wage a global trade war.”

Even so, the judges decided to provisionally maintain the rates in force, arguing that an immediate suspension would weaken the negotiation position of the US government.

Now, according to the New York Timesthe White House prepares an appeal to the Supreme Court to try to validate its tariff strategy. The case is expected to become a legal framework on the limits of presidential power in foreign trade.

For Jeffrey Schwab, a lawyer for Liberty Justice Center – an entity that represents small affected companies – the episode with Brazil reinforces the arguments of the lawsuit.

“These tariffs are problematic precisely because they can change at any time, and our customers are without predictability,” he said. He also pointed out that by linking the sanction to Bolsonaro’s trial, Trump leaves any plausible economic justification.