After years of escalating tariff disputes and strained trade ties, the United States and the European Union are exploring ways to reset their economic relationship. With Italian Prime Minister Giorgia Meloni’s recent visit to the White House to discuss a potential trade deal, the focus is now on whether both sides can move beyond tariffs and forge a more stable, cooperative transatlantic partnership
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Can the U.S. President Strike a Tariff Deal with the EU Alone? Not Quite.
WASHINGTON, D.C. — Italian Prime Minister Giorgia Meloni’s recent visit to the White House has reignited discussions over transatlantic trade, specifically the possibility of a tariff deal between the European Union and the United States. While the EU has expressed interest in reciprocal tariff-free trade—starting with automobiles—many are asking: can the U.S. President implement such a deal unilaterally through executive order?
The answer is no.
Despite the impression given by former President Donald Trump’s April 2 announcement of “reciprocal tariffs” in the White House Rose Garden, the U.S. Constitution grants exclusive authority over tariffs to Congress, not the President.
Under current law, the President can only impose, remove, or adjust tariffs when explicitly authorized by Congress. Over time, Congress has granted temporary powers to address specific issues—national security (Section 232), trade retaliation (Section 301), and economic emergencies (IEEPA), among others—but the authority to negotiate and implement reciprocal tariff reductions expired in 2021.
This means that any deal with the EU involving reduced or eliminated tariffs would now require new Congressional authorization or post-agreement approval, both of which could be politically complex and time-consuming.
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A Look Back at Presidential Tariff Authority
Historically, Congress dominated trade policy, with presidents playing a limited role. That changed with the Reciprocal Trade Agreements Act of 1934, which allowed President Franklin D. Roosevelt to negotiate tariff-reducing agreements. Since then, multiple trade acts—including those in 1962, 1974, 1988, and 2015—renewed and expanded presidential trade authority.
Past presidents like Reagan (U.S.-Canada FTA), Clinton (NAFTA), and Trump (USMCA, U.S.-Japan) successfully negotiated trade deals under these grants. But the latest Trade Promotion Authority (TPA) expired on July 1, 2021, leaving current and future presidents without a clear legal pathway to independently commit the U.S. to binding tariff reductions.
What Options Remain for the President?
There are three possible routes:
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Seek New Authority from Congress: This would restore the legal foundation needed to strike and implement tariff agreements, but it could face political hurdles.
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Pursue Congressional Approval After the Deal: This approach has precedent, such as President Lyndon B. Johnson’s 1965 auto trade deal with Canada.
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Offer Non-Binding Concessions: The President could suspend proposed tariffs in exchange for EU concessions—but without legally binding U.S. commitments, such a deal would lack durability and face political resistance in Europe.
Involving Congress not only legitimizes trade deals under U.S. law but also enhances their long-term stability. If a future court rules that the President overstepped by imposing or lifting tariffs unilaterally, the basis for the agreement could collapse. Congressional support ensures that trade agreements hold up both politically and legally—something especially important in dealing with large, complex economies like the EU.
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