Supreme Court set to rule on Trump tariffs as Japan commits $36B to US energy projects, critical minerals
The US Supreme Court is getting ready to make a decision on President Trump’s tariffs. It was thought the court would rule last month, however, while three decisions were released, there was no word on the tariff case. Now the court is set to decide whether the president acted legally or if he overstepped his power by not going through Congress first.
The court heard arguments last year as to whether Trump exceeded his authority under the International Emergency Economic Powers Act (IEEPA) when enforcing tariffs. The president said that the US may have to “unwind” trade deals if it loses the Supreme Court case and warned of a “complete mess” if tariffs were struck down. Treasury Secretary Scott Bessent said that the US has other options in case of defeat.
On Wednesday, Japan announced it will invest up to $36 billion in US gas, oil, and critical minerals in the first phase of its $550 billion commitment under the tariff and trade deal it struck with the US last year.
“Our MASSIVE Trade Deal with Japan has just launched!” Trump posted Tuesday on social media. “The scale of these projects are so large, and could not be done without one very special word, TARIFFS.”
Meanwhile, Trump plans to roll back some tariffs on metals, including on steel and aluminum goods, as he and his administration seek to battle an affordability crisis ahead of the midterm elections.
The move comes after he faced a rare rebuke over his tariff regime, as six members of his own party crossed lines in the House of Representatives to vote to scrap Trump’s duties on Canada.
But Trump himself appears to be worried about the consequences, as The Financial Times reported that the current 50% tariffs on steel and aluminum could soon see carveouts in a similar manner to Trump’s reductions on certain food imports last year.
Trump has, however, kept up his threats in recent weeks, part of a recent blitz aimed at allies that rivals his bluster from early in his second term.
Japan, US reach $36B of gas, mineral deals in Trump pact
Japan plans to invest up to $36 billion in US oil, gas, and critical mineral projects, part of Tokyo’s $550 billion commitment under the trade agreement it struck with President Trump last year.
“Our MASSIVE Trade Deal with Japan has just launched!” Trump posted on Tuesday on social media. “The scale of these projects are so large, and could not be done without one very special word, TARIFFS.”
Japan’s Prime Minister Sanae Takaichi said that the projects will help build more resilient supply chains through partnerships in crucial areas for economic security.
Bessent says any narrowing of US metals tariffs up to Trump
Supreme Court adds next Friday as decision day as tariff verdict looms
The Supreme Court has added next Friday, Feb. 20, as a decision day, the first time in weeks it could potentially issue a verdict on the closely watched case involving President Trump’s tariffs.
Next Friday is listed as a non-argument session and conference day on the high court’s calendar.
The high court heard arguments on the tariff case in November on an expedited basis, and both liberal- and conservative-leaning justices asked skeptical questions about Trump’s authority to impose the tariffs.
The duties at issue are Trump’s “Liberation Day” tariffs, in which the president slapped levies ranging from 10% to 50% on imports from virtually all US trading partners. The Trump administration has said a defeat at the Supreme Court would only prompt it to impose the duties via other legal means — though Trump himself has said those processes would be more cumbersome and has implored the court to uphold the tariffs.
US, Taiwan finalize deal to cut tariffs, boost purchases of US goods
Trump plays risky game on tariffs as he unwinds metals duties to bolster approval
On Wednesday night, President Trump pressured House Republicans to support his tariffs, even though rising living costs have upset many voters.
While six Republicans voted against his current tariffs on Canadian goods, 210 others remained loyal to Trump. But experts say this could harm them in the upcoming midterm elections, as many voters remain concerned about rising prices.
NY Fed report says Americans pay for almost all of Trump’s tariffs
A report from the Federal Reserve Bank of New York argues that Americans are paying for almost all of the additional costs from President Donald Trump’s tariffs.
6 Republicans cross party lines to offer a rare rebuke of Trump’s tariffs on Canada
President Trump’s tariffs faced a rebuke on Wednesday as the US House of Representatives voted to pass a resolution seeking to terminate the national emergency measures Trump used to impose tariffs on Canada. Six Republicans voted with Democrats to scrap Trump’s tariffs against the US’s neighbor.
Yahoo Finance’s Washington Correspondent Ben Werschkul outlines the outcome of yesterday’s vote by the US House of Representatives and what it means for Trump’s tariffs:
US, Japan zero in on energy and chips for $550B fund
The US and Japan are nearing the completion of the first of three projects that Tokyo agreed to fund as part of its $550 billion investment in the US and tariff agreement.
Bloomberg reports that the three projects include a data center led by SoftBank Group Corp. (9984.T), a deep-sea oil terminal in the Gulf of Mexico, and semiconductors.
According to the report, SoftBank didn’t immediately respond to a request for comment.
US changes India trade deal statement, sparking confusion
Confusion over the trade deal between the US and India emerged on Wednesday after the White House adjusted language around agricultural goods.
In the updated statement, the US has removed a reference to pulses, a staple food in India that includes lentils and chickpeas.
In the old version, the statement says that India will remove tariffs on “certain pulses”, whereas in the new version, the word “pulses” has been removed. The old version also says India is “committed to buying more American products,” whereas the new statement says “… intends to buy…”
The countries appear to have made other changes to the statement, too.
Bloomberg News reports:
Trump’s tariffs face rebuke as Johnson fails to block votes
The US House of Representatives will vote on Wednesday on whether to reject some of President Trump’s tariffs. The vote comes months ahead of the midterm elections, at a time when many Americans are concerned about the rising cost of living.
Today’s vote will start with a resolution to stop Trump’s tariffs on Canada, which currently include a 35% tariff on imported items such as steel, aluminum, and copper, as well as a 25% duty on non-US cars. The United States-Mexico-Canada Agreement (USMCA), the free trade agreement Trump has threatened to scrap, does exempt some of these goods.
The House vote will proceed despite Speaker Mike Johnson’s attempt to block it.
Trump has there would be no extra cost to the American people. A report from the nonpartisan Tax Foundation has found that these tariffs will amount to an average tax increase per US household of $1,000 in 2025 and $1,300 in 2026.
US plans Big Tech carve-out from next wave of chip tariffs
The Financial Times reports that the Trump administration is planning to exempt hyperscalers Amazon (AMZN), Google (GOOG), and Microsoft (MSFT) from forthcoming chip tariffs as Big Tech races to build data centers to power artificial intelligence.
