In this special edition of the Hinrich Foundation’s podcast on global trade, the Association of Foreign Press Correspondents-USA sits down with Dawn Shackleford, President of Looking Glass Trade, LLC, to analyze the Trump administration’s pivot to Section 122 tariffs as a rapid, temporary workaround after legal setbacks, examining the credibility of its balance-of-payments justification and the roles of the IMF and WTO in assessing its implications for US trade policy.

The Trump administration’s turn to Section 122 tariffs reflects a search for speed and legal durability in advancing its trade agenda after the Supreme Court blocked the use of emergency powers under the International Emergency Economic Powers Act.

Designed as a temporary measure, Section 122 allows tariffs of up to 15% for 150 days, positioning the policy as a stopgap while more permanent tools — such as Section 232 and Section 301 — are pursued. Yet its reliance on a balance-of-payments justification raises questions about credibility, as such crises typically involve acute external imbalances and are subject to scrutiny by the International Monetary Fund (IMF) within World Trade Organization (WTO) processes.

Shackleford explains how the United States may be leveraging timing, procedural complexity, and partial product coverage to sustain the tariffs while remaining formally engaged in multilateral rules, arguing that the move underscores both the constraints of existing trade commitments and the continued relevance — and tension — of the WTO system.

Tune in to this podcast as Dawn Shackleford, President of Looking Glass Trade, LLC, and Consultant at the Hinrich Foundation, joins the Association of Foreign Press Correspondents-USA to discuss the Trump administration’s Section 122 tariffs, what they reveal about US trade policy, and the roles of the IMF and WTO. The podcast follows up on Shackleford’s recent article for the Hinrich Foundation, “Trump asserts trade payments problems. The IMF may want to sharpen its pencils.”

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Tune into the Hinrich Foundation’s podcast series for insights on international trade.