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After Supreme Court kills initial tariffs, Trump uses Section 301 of Trade Act of 1974 to impose 25% tariffs on Brazil
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Following a February 2026 Supreme Court ruling that invalidated his initial tariff program, former President Donald Trump is implementing a new legal strategy to impose 25% tariffs on Brazil and potentially other countries. The Supreme Court decision forced the U.S. government to issue billions of dollars in refunds to companies that had paid the earlier tariffs. Trump's new approach reportedly relies on Section 301 of the Trade Act of 1974 as a workaround to bypass the court's ruling. The article, published by Fortune on July 17, 2026, highlights the shift from a tariff program that generated billions in revenue to one now requiring massive refunds, and signals ongoing legal and political battles over trade policy.
Source report
Following the Supreme Court's rejection of his earlier tariff measures, former President Donald Trump has turned to a novel legal workaround to impose 25% tariffs on Brazil — with potential expansion to other nations.
The new approach leverages Section 301 of the Trade Act of 1974, a statute historically used to address foreign trade practices deemed unfair or discriminatory. This legal maneuver allows the executive branch to impose tariffs without direct congressional approval, provided the action is tied to an investigation into foreign trade violations.
Key details:
- The 25% tariff targets Brazilian imports
- The legal basis shifts from previous authority to Section 301
- Additional countries may face similar measures
The development marks the latest escalation in Trump's trade policy agenda, following the Supreme Court's decision to strike down his earlier tariff framework. Legal experts note that Section 301 has been upheld in previous court challenges, potentially giving this approach a stronger legal foundation.
This article was originally published by Fortune. Author: Marco Quiroz-Gutierrez
Source
Fortune | FORTUNEWestern
Part of this Story
US Imposes 25% Tariffs on Most Brazilian Goods Over Trade Practices