On January 20, President Trump took his first tariff and trade related action of his second term with the issuance of an Executive Order on America First Trade Policy. The Order does not impose any new tariffs or other measures; rather, it directs members of his administration to conduct studies of numerous potential tariff actions, with most reports due by April 1 (and with any resulting tariffs presumably imposed sometime thereafter). Importers and others should not assume that this more measured action means that Trump is unlikely to impose new tariffs within the near-term future (and see more on that topic below); rather, at least one news report states that Trump remains highly interested in new tariff actions, and that the delay is meant to bolster the legal basis for new tariffs and make them more difficult to overturn.
The Executive Order aims to establish trade policy that promotes investment and productivity, enhances the Nation’s industrial and technological advantages, defends economic and national security, and “benefits American workers, manufacturers, farmers, ranchers, entrepreneurs, and businesses.” During a press conference held at the Oval Office while President Trump signed this and other executive orders, however, the President indicated to the press that tariffs on Mexican and Canadian goods could be imposed as early as February 1st and with tariffs potentially to be imposed on other nations as well. This memorandum outlines key provisions of the Executive Order and statements made by President Trump regarding tariffs in his first day in office.