Trump Considering National Economic Emergency to Allow New Tariff Program

According to information provided by four sources to CNN, President Donald Trump is considering declaring a national economic emergency to provide legal justification for broad universal tariffs aimed at both allies and adversaries as he seeks to reset the global trade balance during his second term.

The announcement would allow Trump to establish a new tariff program using the International Emergency Economic Powers Act (IEEPA), which grants a president the authority to unilaterally manage imports during a national emergency.

One source indicated that Trump is inclined towards this law, as it provides extensive authority on how tariffs can be applied without the burden of proving the necessity for tariffs based on national security grounds. A second source familiar with the matter noted that intense discussions are ongoing regarding the declaration of a national emergency, stating, "Nothing is off the table."

Trump's transition team did not respond to requests for comments. In 2019, Trump threatened to impose a 5% tariff on all goods imported from Mexico if the country did not take action to reduce the number of undocumented immigrants crossing the U.S. border, with the rate potentially increasing to 25%.