Trump Administration Moves to Restore Tariffs to Pre-Cancellation Levels by July

SadaNews Economy - U.S. Treasury Secretary Scott Vilsack indicated that the tariffs imposed by President Donald Trump could be restored by July to the levels they were at before the Supreme Court annulled many of those tariffs.

Vilsack said during an event for the "Wall Street Journal" in Washington: "We experienced a setback in the Supreme Court regarding tariff policy, but we will implement or conduct studies under Section 301, and thus the tariffs could return to their previous levels by the beginning of July."

The Treasury Secretary added that the tariff powers under Section 301 have already been tested in court, allowing business leaders to begin planning and making decisions related to capital spending.

Trump is seeking to reinstate the tariff wall using different powers after the Supreme Court ruled that his use of emergency powers to impose those previous tariffs was unconstitutional.

In a separate context, Vilsack said that although it is difficult to determine when the repercussions of the Iran war will affect the U.S. economy, it remains in a strong position. He added: "I believe that growth could easily exceed three or three and a half percent this year."

He noted that the continued decline in core inflation, which excludes volatile energy and food prices from the reading, is a positive signal.

Vilsack said: "I believe that the Federal Reserve was wrong about inflation, and core inflation is declining." He added: "I understand if they want to wait until the data is clearer, but that means that interest rates should drop significantly more."

However, the March report that showed a decline in core inflation also recorded a sharp increase in the overall consumer price index, which includes gasoline prices.