Trump Warns of ‘1929-Style Great Depression’ if Court Strikes Down Tariffs
US President Donald Trump on Friday warned of a ‘1929-style Great Depression’ if the court rules against tariffs. The US Court of Appeals for the Federal Circuit, is set to pass judgment on Trump’s tariffs as a case involving business and states that have been harmed by tariffs sits on its docket.
“Tariffs are having a huge positive impact on the Stock Market. Almost every day, new records are set. In addition, Hundreds of Billions of Dollars are pouring into our Country’s coffers”, Trump wrote on Truth Social. The US president has argued that tariffs will promote domestic manufacturing and will substitute for income taxes.
He defended the tariffs and said, “If a Radical Left Court ruled against us at this late date, in an attempt to bring down or disturb the largest amount of money, wealth creation and influence the U.S.A. has ever seen, it would be impossible to ever recover, or pay back, these massive sums of money and honor.”
Trump warned, “It would be 1929 all over again, a GREAT DEPRESSION!” if the court was going to rule against “wealth, strength, and power of America”, adding that America might never have a chance at “this kind of GREATNESS again’.
“Our Country deserves SUCCESS AND GREATNESS, NOT TURMOIL, FAILURE, AND DISGRACE. GOD BLESS AMERICA!” Trump wrote.
The litigation challenges the tariffs Trump imposed on a broad range of US trading partners in April, as well as tariffs imposed in February against China, Canada and Mexico.It centers around Trump’s use of the International Emergency Economic Powers Act (IEEPA), a power that the president can use to address “unusual and extraordinary” threats during emergencies.
If Trump loses the case, it would undermine the latest round of tariffs he imposed on countries that he unveiled on Thursday, although the losing party is expected to appeal to the Supreme Court.
Trump has imposed 50 per cent tariff on Indian imports, citing New Delhi’s imports of Russian crude. Announced on Wednesday, the 25 per cent levy takes the earlier announced tariffs of the same amount on Indian imports to US to a the highest imposed by Washington on any trading partner. It is set to take full effect by August 27.
