Portman Says His Section 232 Bill Could Be Signed by Trump
Senators across the political spectrum -- from Sen. Dianne Feinstein, D-Calif., to Sen. Roger Wicker, R-Miss. -- see levying national security tariffs on imported automobiles as "a step too far," Ohio Republican Sen. Robert Portman said, and he believes his bill, S.B. 365 on Section 232 tariffs could pass Congress and avoid a presidential veto.
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Portman, a former U.S. trade representative, said he's consulted with all the factions on trade in the White House, from special trade adviser Peter Navarro and USTR Robert Lighthizer to economic adviser Larry Kudlow and Commerce Secretary Wilbur Ross, and they gave him input on how to shape the bill he introduced last year and reintroduced this month (see 1902060051). "The Trump administration has not come out against our proposal," he said, though he acknowledged that could change. "If the president decides he's going to issue a veto threat, the opportunity for an override would be minimal."
Portman spoke about the prospects for his bill on Feb. 12 in his Washington office. He said it has more momentum than it did last year, because Senate Finance Committee Chairman Chuck Grassley, R-Iowa, has said he's interested in the bill's goals. Sen. Pat Toomey, R-Pa., introduced a bill that would allow Congress to undo the current Section 232 tariffs and prevent any others. Portman's bill does not give Congress as much power -- it leaves the steel and aluminum tariffs alone and would require a veto-proof majority to override tariffs levied under Section 232. Portman said that giving the president the possibility of raising tariffs without congressional action is important, in case there truly is a national security emergency. "Kind of hard to argue that minivans from Canada compose a national security threat," he said drily.
While his bill is not retroactive, if the bill were to pass before the president raised tariffs on imported autos or auto parts, it would require the investigation to begin again. Under current law, the Commerce Department determines whether there is a national security threat from imports, and the way that threat is defined includes language that says the Commerce secretary and the president shall consider "the impact of foreign competition on the economic welfare of individual domestic industries; and any substantial unemployment, decrease in revenues of government, loss of skills or investment, or other serious effects ... in determining whether such weakening of our internal economy may impair the national security."
If Portman's bill becomes law, the Defense Department would determine if the imported items impair national security, and the Commerce Department would determine the remedies.