They Just Gave Trump Exactly What He Wanted

The Supreme Court just struck down

Trump's tariffs and

companies are eyeing the opportunity to

get a massive refund. You've got

boardrooms going crazy. They're

celebrating. You've got some everyday

people out in the streets dancing. So

happy that these tariffs have been

struck down. But I'm noticing that most

people are completely missing, what this

actually means and are completely

illprepared for what might come next.

But let's go ahead and break down what

just happened and what this means for

you and your money. First, let's get it

understood that the Trump administration

is not about to just lay down and not

find a workaround and just hand out

money that they don't really have.

Trump has already immediately put down a

10% global tariff on top of anything

that already still stands. Today, I will

sign an order to impose a 10% global

tariff under section 122 over and above

our normal tariffs already being

charged. And we're also initiating

several section 301 and other

investigations to protect our country

from unfair trading practices of other

countries and companies. But let's go

ahead and perform a little mental

exercise here. We're going to act like

the tariffs are actually going to go

away for a second. Stick with me. To do

this, we have to fully understand what a

tariff actually is and how it works. A

tariff is a tax imposed by a government

on imported goods and services designed

to make foreign products more expensive,

protect domestic industries, or raise

government revenue. Now, the one who

actually pays this tax is the business

that is importing the good or service

into the United States. They will then

sell that good or service to an American

consumer. But there's an unending debate

about who ends up actually paying the

bill because some people think that the

importer is just going to raise prices

and that is what they do to offset the

higher tax. So in the end the consumer

just pays that tax through inflation.

Now others say that the exporter is

going to lower their prices and they

take the hit. Now others say that

everyone here just shares a bit of the

hit and you get shrinking profits for

businesses uh both the exporter and the

importer and you get a little bit of a

higher price for the end consumer.

Now what we saw in the data is that

consumers paid higher prices on imported

goods last year. One study saw about a

76 basis point increase in all goods CPI

pricing. Now, let's just imagine for a

second that the tariffs go away and all

of the importers are going to just get

their money back. There was about 120 to

$179 billion in the EA collections that

would be returned to these importers.

Now, let's keep it real for a second.

Consumers already paid for the goods and

services that they bought last year at

inflated prices and the prices are

already higher. Companies are not going

to lower prices because tariffs went

away. No, the prices are going to stay

high and the corporations will

hypothetically get their funds back and

keep it pushing. People already lost

their jobs due to the fear and

uncertainty that tariffs brought. The

tariff going away is not going to get

these people their jobs back. The only

winner here is the corporation and even

they would potentially be in court for

years before they actually see that

money. Now, let's come back to reality

for a second.

The Trump administration has already

outlined several different ways in which

they can still implement tariffs even if

the International Emergency Economic

Powers Act tariffs are struck down.

>> But if you lose, what what do you do?

>> But the ultimate goal here that the the

revenue and I have been very consistent

on this that tariffs are a shrinking ice

cube. The ultimate goal is to rebalance

trade and to bring back domestic

production. Okay,

>> look, there are we can recreate the

exact tariff structure with 301's, with

232s, with the I think they're called

122,

>> but not permanently

>> permanently.

>> You think you're

>> well the 122s aren't permanently, but

the others we can do it.

>> As Scott Besson said, the ultimate goal

here is rebalancing trade and to bring

back domestic production. The US is a

net importer of total goods and

services, meaning they consistently run

a trade deficit by purchasing more from

countries than it sells to them. Tariffs

rebalance trade because the higher

prices to import encourage finding

domestic alternatives, decreasing the

net import position of the United

States. This also encourages domestic

production because at some point you're

better off making and selling goods and

services within the United States

instead of relying on a volatile and

hostile environment for continuing to

import goods. You don't want to keep

dealing with the fact that tariffs might

go up by 100% on this or that product at

any point in time. So my point is

the Trump administration is going to

rebalance trade and encourage domestic

production

by pretty much any means. In President

Trump's speech responding right after

the Supreme Court's decision, he

mentions a little thing called a 122

and he mentions that guy's friend 301.

And these are also not area codes by the

way. And what he is referring to here is

section 122 and section 301

which are specific provisions within the

trade act of 1974.

Section 122 specifically addresses

balance of payments authority and this

is a lesser used temporary tool designed

for quick responses to urgent economic

issues. And this allows the president to

proclaim temporary import sir charges

tariffs of up to 15% on top of any

existing duties to address large and

serious US balance of payments deficits

or fundamental international payment

problems. Now section 122 does not

require a formal study and instead can

be implemented just upon presidential

determination.

But the measures here automatically

expire after 150 days unless Congress

extends them by legislation.

When it comes to section 301, this is

more about relief from unfair trade

practices. And this is a more

established and frequently used

authority, especially against China in

Trump's first term. Now, what this

allows is for the US trade

representative, often at the president's

direction, to investigate foreign

government acts, policies, or practices

that are unjustifiable, unreasonable, or

discriminatory. If findings confirm

issues, then the US trade representative

can impose tariffs or negotiate binding

agreements. These kinds of tariffs have

no statutory cap on rates or scope. Now

this does require a formal investigation

and then the tariffs will be reviewed

after 4 years and can be extended if

beneficial to US industry. Now that's

122 and 301. But then we've got section

338. Now, this one right here is the one

we got to look at. And this is seen as

the nuclear option or essentially the

plan B when something like what just

happened occurs. And this is about

discrimination by foreign countries.

This allows the president once again to

put new or additional duties of up to

15% on top of any existing duties. And

this can be imposed on imports from any

country that he finds as a fact is

discriminating against US commerce. This

one does not require a formal

investigation or agency report. The

president just makes the findings and

proclaims the duties would kick in after

30 days and there's no time limits on

duration. But the point here is that

there are options. All right? They got

options and they are very likely to use

them. Justice Kavanaaugh, one of the

Supreme Court justices, pointed out that

the Supreme Court decision also

effectively means that Trump has ways to

unilaterally ban all foreign imports.

Just another pod guy outlined on X how

the administration can essentially force

countries to pay tariffs by creating a

security tax where the US simply doesn't

import anything until that tax is paid.

Now, this is not financial advice. I am

not a financial adviser and I highly

recommend that you do not take financial

advice from a random guy walking around

a park

talking to a stick.

But if the administration does not find

a way to implement tariffs the way that

they want to and have to give a refund

to companies, then the US would very

likely have to make that money come out

of nowhere, which means they would need

to print it. Um, you know, a refund of

more than hund00 billion would be larger

than the budget for several different

large federal agencies. And that kind of

money isn't necessarily just sitting

around. If they print more, you're

basically going to see increased

borrowing that needs to occur from the

US Treasury. And

that's probably going to have to get

bought by the Fed, which means that

they're going to have to print money to

make that happen. Not saying that has to

be how it goes, but that's a pretty

likely scenario to look out for. Now, if

they find another way to get these

tariffs done, then it would actually be

important to look at what way in which

they actually get it done because this

will change the impact that these

tariffs are going to have across several

industries depending on which ones get

hit. There will likely be a focus on

more uh of the rare earth minerals,

okay, and energy and anything related to

AI and chip manufacturing. So, keep an

eye on these industries and any

opportunities for US domestic production

to become a winner in all of this. But I

don't know, maybe I've completely lost

the plot. What did I miss? What did I

get wrong? Or how could I be looking at

this differently? Let me know in the

comments down below. I'm going live

right here on YouTube on my channel to

talk about this in depth at 2 p.m.

Eastern on Saturday. So, if it's

Saturday,

look down below and you can actually

find the link to this live stream. Join

me there. We're going to break this down

and more. And if you haven't already,

you got to subscribe to my live show

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until next time, peace.