President Donald Trump on Wednesday threatened to impose 50 percent tariffs on any country that supplies military weapons to Iran, although it is not clear that he has the legal authority to do so.
“A country supplying Military Weapons to Iran will be subject to an immediate tariff, on any and all goods sold to the United States, of 50%, effective immediately. There will be no exemptions or exemptions!” Trumphe wrote in a post on Social Reality.
While the president previously had tariffs to force other countries to agree to his demands, the Supreme Court in February removed the main legal authority — a 1977 emergency law — that he had used to impose those tariffs on countries at will.
The tax instruments he left behind are fewer and more complex, requiring more specific justifications and more detailed investigations before taxation can be imposed.
The White House did not immediately respond to a request for comment on what legal authority the president plans to use to carry out his threat.
Trump may, for example, try to use Section 338 of the Tariff Act of 1930, which allows the president to impose tariffs of up to 50 percent. However, the statue should be used to fight foreign discriminatory trade practices or sanctions against American products – legal action in the case of arms sales.
Its most legally binding tax option, based on an investigation into several countries’ unfair trade practices, is still in the works. But he could use earlier investigations into China’s business practices conducted in his first term to justify Beijing’s tariffs, in particular.
Beijing gives it to Tehrandual use itemsincluding drones and spare parts that the Iranian regime arms its military forces. Iran was about to sign a deal to buy Chinese-made cruise missiles,Reuters reported last month.
However, the threat of new sanctions linked to China’s trade with Tehran could spark plansthe long-awaited summitbetween Trump and Chinese leader Xi Jinping in Beijing next month. The Chinese Embassy in Washington did not immediately respond to a request for comment.
Trump’s announcement of new tariffs comes hours after he announced a two-week ceasefire with Iran that could pave the way for an end to the war in the Middle East.
The President, in a post on Social Truth once, called it “a great day for World Peace!”
Daniel Desrochers, Phelim Kine and Ari Hawkins contributed to this report.
