US Policy Pulse

Trade Policy: Tariffs, Legal Challenges, Dollar Weaponization, and Canada Threat; Sanctions as Foreign Policy Tool

Trade Policy: Tariffs, Legal Challenges, Dollar Weaponization, and Canada Threat; Sanctions as Foreign Policy Tool

Key Questions

What legal challenges have affected US tariffs?

The CIT struck down Section 122 tariffs, resulting in $20 billion in refunds, while Section 301 probes could return tariffs to prior levels.

How is China positioned in critical minerals supply chains?

China holds 69% of rare earths mining and 91% of refining, creating a national security vulnerability for the US amid Quad initiatives.

What risks arise from using the dollar as a foreign policy tool?

Trump's weaponization of the dollar risks its reserve currency status, with sanctions now affecting 27% of world trade.

Tariff-driven inflation traps mortgage rates. CIT struck down Section 122 tariffs ($20bn refunded). China's rare earths dominance (69% mining, 91% refining) poses national security vulnerability. US-China policy heading for 'unpredictable drift'; Quad critical minerals initiatives signal long-term competition. Border adjustment tax debate resurfaces. Brookings analysis details shift from rules-based to discretionary tariff governance. Trump threatens to not renew US-Canada trade agreement. EU Parliament approved tariff-free trade deal with US. Trump turned dollar into foreign policy tool, risking reserve status. Sanctions as foreign policy tool: 27% of world trade affected.

Sources (2)
Updated Jun 26, 2026
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