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Donald Trump has warned that he would not need Congress to impose tariffs on imports if he is reelected.
“I’d rather get their support,” the former president said Monday after claiming he could enact his 10 to 20 percent tax on goods without help from lawmakers on Capitol Hill.
Economists on the left and right have warned that the plan, meant to target countries the GOP nominee says have been “ripping us off,” would adversely affect U.S. consumers and businesses.
At a campaign event with farmers in Pennsylvania, a crucial swing state in November’s election, Trump was asked about claims that tariffs would drive up consumer costs.
“They’ll approve it,” Trump said, cutting the reporter off. “I don’t need Congress, but they will approve it.
“I’ll have the right to impose them myself if they don’t…. The ones who understand business do support it,” he said at the event in Smithton.
Some have warned the tariff would effectively be the equivalent of a national sales tax, while U.S. companies might suffer as the countries subjected to the higher costs could impose their own charges.
Trump has argued that by introducing these fees, U.S. companies will have an advantage over those overseas, while also promising more jobs for Americans.
“If the idea is to expand domestic production of goods so as to benefit U.S. workers, not much expansion can be achieved in an economy such as the U.S. that is close to full employment,” professor Barbara Spencer, who used to teach strategy and business at the University of British Columbia, told Newsweek in August.
“Any attempt at a major domestic expansion will instead increase inflationary pressures. Also, an objective to enhance U.S. exports is likely to fail. By raising U.S. costs, the tariffs will generally make U.S. exports less competitive,” Spencer said.
Trump’s determination to push the tariff policy may not be doing him any favors with voters, as significant numbers are turning to Vice President Kamala Harris, according to polling out over the weekend. The Democratic nominee had cut the New York business mogul’s lead on the economy in half, NBC News reported, while nearly 40 economists have recently endorsed her over Trump.
The former president says he can deliver promised tax cuts while imposing tariffs to pay for tax reform.
Newsweek reached out to the Trump campaign via email Monday afternoon for clarification on how these proposals would be enacted.
“Under dealmaker President Trump, American farmers, manufacturers, and auto workers got the best trade deals in history, and he will once again put America First when we send him back to the White House,” Republican National Committee spokesperson Anna Kelly said in a statement released Monday afternoon.
Trump’s assertion on Monday that he does not need Congress to make tax and tariff changes is not so easy to back up. The Constitution gives Congress, not the president, power over taxation and regulations on foreign commerce.
Update 9/23/24, 6:03 p.m. ET: This story was updated with additional background and information.