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With the Supreme Court about to hear a landmark case on President Donald Trump\u2019s tariffs, Treasury Secretary Scott Bessent said Tuesday that there are other options in case of defeat.<\/p>\n
The high court is set Wednesday to decide whether Trump exceeded his authority<\/a> under the International Emergency Economic Powers Act to enact sweeping duties on U.S. trading partners.<\/p>\n At stake is the leeway presidents have to wield over trade measures as a tool of economic policy. Bessent expressed confidence in a CNBC \u201cSquawk Box<\/a>\u201d interview that the administration will prevail, but has additional outlets it can use in case the decision goes the other way.<\/p>\n \u201cThere are lots of other authorities that can be used, but IEEPA is by far the cleanest, and it gives the U.S. and the president the most negotiating authority,\u201d he said. \u201cThe others are more cumbersome, but they can be effective,\u201d<\/p>\n Specifically, Bessent sited Section 232 of the Trade Expansion Act of 1962, which provides a justification on grounds of national security, as well as Section 301 of the Trade Act of 1974, which regulates unfair trading practices.<\/p>\n However, they would limit the president\u2019s ability to use tariffs, as Trump has, under \u201cemergency\u201d grounds.<\/p>\n \u201cThis is very important tomorrow, and SCOTUS is going to hear this,\u201d Bessent said, referring to the court\u2019s nickname. \u201cThis is a signature policy for the President, and traditionally, SCOTUS has been loath to interfere with these signature policies.\u201d<\/p>\n Outside of the court case, the secretary talked up the relationship the White House has with China, following last week\u2019s meeting<\/a> between Trump and Xi Jinping. An agreement reached at the gathering in South Korea resulted in deals that set back some of the most onerous tariffs the two sides had slapped on each other.<\/p>\n \u201cIt was a very good meeting. Both sides approached it with great respect,\u201d Bessent said. \u201cI think President Trump is the only leader who President Xi respects. \u2026 The relationship is in a good place.\u201d<\/p>\n