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RL33743

U.S. Trade Policy: Tariffs, Trade Agreements, and Congressional Authority

Shayerah Ilias AkhtarMarch 28, 2025
tradetariffsusmcawtotrade agreements

This report examines the constitutional and statutory framework for U.S. trade policy, including Congress's authority under the Commerce Clause and delegations of tariff authority to the President. It reviews major trade statutes including Section 201, Section 232, and Section 301 of the Trade Act.

The report analyzes current trade agreements, including the United States-Mexico-Canada Agreement (USMCA), ongoing negotiations, and the status of World Trade Organization (WTO) dispute settlement. It discusses the use of tariffs as a policy tool and their economic effects on consumers, businesses, and trading partners.

Key policy issues include trade relations with China, digital trade rules, enforcement of labor and environmental provisions in trade agreements, and proposals to modify or limit presidential tariff authority.

Note: This is a summary of a Congressional Research Service report. CRS reports are prepared for Members of Congress and their staffs. This summary is provided for informational purposes and does not constitute legal advice.