National Economic Council Director Kevin Hassett indicated that the White House is preparing alternative strategies in the event that the Supreme Court rules against President Donald Trump’s use of emergency powers to implement tariffs under the International Emergency Economic Powers Act (IEEPA). In an appearance on CNBC’s “Squawk on the Street,” Hassett mentioned that a significant meeting took place to discuss potential next steps if the Supreme Court does not support the IEEPA tariffs. He emphasized the availability of various legal authorities capable of achieving similar trade agreements with other countries almost immediately.
Hassett expressed confidence that the administration would prevail in its legal arguments but acknowledged that contingency plans are in place should the Supreme Court ruling be unfavorable. U.S. Trade Representative Jamieson Greer is actively involved in developing these plans. Despite the anticipation surrounding the Supreme Court’s first decision day in 2026, no ruling on the legality of the tariffs was announced.
In addition to his current role, Hassett is also among the candidates considered for the position of Federal Reserve chair, as President Trump approaches a decision regarding the successor to Jerome Powell, whose term is set to expire in May. Hassett conveyed satisfaction with his current position while remaining open to the president’s decision on his potential future role.
Why this story matters
- The outcome of the Supreme Court’s ruling could significantly affect U.S. trade policy and international relations.
Key takeaway
- The White House is prepared with alternative legal strategies to maintain trade agreements, irrespective of the Supreme Court’s decision.
Opposing viewpoint
- Critics argue that reliance on emergency powers for tariffs undermines established trade protocols and could escalate tensions with other nations.
