President Donald Trump took to the airwaves Tuesday to forcefully defend his authority to impose tariffs, warning that a pending Supreme Court decision could determine the economic fate of the United States.
Appearing on the Scott Jennings Show on Salem Radio Network, Trump said overturning the Court of Appeals ruling that upheld a block on key tariffs would lead to "economic disaster," claiming that without tariffs, the country would be left defenseless against foreign trade practices.
"This will destroy our country," Trump said. "If we don't win that decision, we'll be one of the very poor countries… Without the tariffs, we are an entirely different country."
Court Delays Ruling Impact Until October
On Friday, the Court of Appeals for the Federal Circuit ruled 7–4 that the tariffs imposed under the International Economic Emergency Powers Act (IEEPA) lacked legal basis.
The court, composed mostly of judges appointed by Democratic presidents, delayed implementation of its decision until Oct. 14 or until the Supreme Court either declines to hear the case or issues its own ruling.
The tariffs in question account for 8 percentage points of the roughly 11-point increase in the effective U.S. tariff rate this year. If the court ruling stands, much of that could be rolled back—unless the Trump administration pivots to other legal justifications, including Section 122 (allowing 15% tariffs for 7 months during national emergencies) or Section 301 (used against China in 2018–2019).
Despite being sharply critical of the court, Trump praised one of the judges who ruled in his favor, even though the judge was appointed by President Obama.
"I was very impressed with the Obama judge who voted for us," he said. "I think he's a man of great courage."
Trump Ties Tariffs To Global Leverage
Trump repeatedly framed tariffs not only as an economic tool but as a form of geopolitical leverage.
"It's the single most powerful word in the world," Trump said. "Everyone else uses them on us, and we're not allowed? I have the right as president to do it. It's an economic emergency."
Trump stated that without the ability to levy tariffs, the U.S. would lose its negotiating power in global trade deals.
Citing India, Trump said the country previously had the highest tariff rates globally but offered to eliminate them only after the U.S. imposed reciprocal duties.
"If I didn't have tariffs, they would never offer no tariffs," he said. "That's not only the money that comes in, it's the power to negotiate."
Trump highlighted that the legal case against his tariffs is being driven by foreign corporate interests looking to maintain their trade advantage.
“China kills us with tariffs, India kills us with tariffs, and Brazil kills us with tariffs,” Trump said.
Stock Market Hanging On Legal Outcome
Trump also indicated that Tuesday’s market weakness is directly tied to uncertainty over the Supreme Court's pending decision.
"This decision is the only thing. The stock market's down today because of the possibility that's going to happen," Trump said, referring to the potential rollback of tariffs.
He went on to claim that $17 trillion in investment has flowed into the U.S. as a result of the tariffs, a number that has not been independently verified.
“Without tariffs, we’re not going to have a country, we’re going to be in a very serious financial trouble,” Trump stated.
The S&P 500 – as tracked by the Vanguard S&P 500 ETF (NYSE:VOO) – slumped over 1% on Tuesday, heading for a second day of losses.
The CBOE Volatility Index or VIX, also known as the market’s fear index, soared over 15%.
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