Tuesday, 02 January 2024 12:17 GMT

Trump Warns of “National Security Catastrophe”


(MENAFN) US President Donald Trump has asserted that the nation could face a “national security catastrophe” if the tariffs he implemented against most US trading partners this year are deemed illegal.

Trump initiated the tariff campaign in April, accusing America’s trading allies of producing unfair trade imbalances.

He characterized the tariffs as a “reciprocal” measure intended to secure improved trade conditions, citing the 1977 International Emergency Economic Powers Act (IEEPA) as the legal justification.

This law permits the president to oversee or restrict international trade and financial activities during a declared national emergency linked to foreign threats. Nevertheless, the initiative has faced criticism from lawmakers, who caution that it might damage the domestic economy.

During late summer, the US Court of Appeals determined that Trump had surpassed his authority by imposing tariffs under the IEEPA, emphasizing that only Congress can authorize such extensive actions.

While the court did not immediately annul the tariffs, it paused their enforcement pending a decision from the Supreme Court.

In a message posted on Truth Social on Monday, Trump cautioned about severe repercussions if the Supreme Court rules against him.

“The actual number we would have to pay back in tariff revenue and investments would be in excess of $2 trillion, and that, in itself, would be a national security catastrophe,” he stated.

Trump did not provide details on how he arrived at the $2 trillion estimate.

Earlier, US Trade Representative Jamieson Greer told Fox News that Trump’s tariffs have so far produced roughly $100 billion.

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