Besides bold letters to world leaders, Trump is working on a subtler tariff strategy

Published on July 19, 2025

Title: Trump's Dual Tariff Strategy: A Deep Dive into IEEPA and Section 232 Tariffs

In recent news, President Trump has been working on a subtler tariff strategy beyond his bold letters to world leaders. This week, he floated the idea of pharmaceutical tariffs, stating that they would be implemented at the end of the month with a low initial rate and gradually increased over time. While this may seem like just another move in Trump's trade war arsenal, it is actually part of his dual-tariff strategy which includes two different sets of tariffs authorized by two separate laws: IEEPA (International Emergency Economic Powers Act) and Section 232.

The first set of tariffs are those announced in country-by-country letters under the IEEPA act, known as "IEEPA Tariffs." These broadly cover a wide range of imports from various countries based on emergency economic situations or national security threats. The second set is comprised of Section 232 tariffs named after a part of a 1962 trade law that covers specific products like pharmaceuticals, steel, and aluminum. While these are not as sweeping as the IEEPA Tariffs, they cover a large portion of imports and have been found to be more likely to withstand legal challenges due to their targeted nature.

Trump's use of Section 232 tariffs has indeed been revolutionary during his first term according to Tim Keeler, a trade lawyer who served at the U.S. Trade Representative's Office under President George W. Bush. Prior to Trump, there had only been one Commerce Department investigation since 2001 which involved this law. Currently, Trump has two sets of Section 232 tariffs in place and nine more in process.

The implications of these dual-tariff strategies are significant as they allow the President to target specific industries or countries without resorting to blanket trade restrictions. This provides him with greater flexibility when negotiating international trade deals while still maintaining pressure on certain nations or sectors. However, it also raises concerns about potential retaliation from affected countries and the impact on domestic businesses that rely heavily on imported goods.

In conclusion, Trump's dual-tariff strategy using IEEPA and Section 232 tariffs represents a new approach to international trade negotiations. While this method provides more targeted options for imposing tariffs, it also carries potential risks in terms of retaliation from affected countries and disruptions to domestic industries. As we continue to monitor these developments, it will be interesting to see how other world leaders respond to Trump's innovative use of trade laws.

Source: [Original Article](https://www.npr.org/2025/07/18/nx-s1-5452431/trump-tariffs-section-232) #besides

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