After the Supreme Court's 6-3 ruling in Learning Resources Inc. v. Trump invalidated IEEPA tariffs, the administration pivoted to Section 122 of the Trade Act of 1974 — a balance-of-payments emergency statute — and Section 232 national-security authority to sustain 25-percent auto tariffs on EU imports, per reporting by The Dispatch's Kevin D. Williamson.
The second-order costs are the story. Said Daniel Anthony, founder of We Pay the Tariffs and owner of Trade Partnership Worldwide: "If the cost of replacing your house goes up, then your insurance company should be charging you more, because it will cost more to rebuild that house today than it would have when you bought it." Anthony also flags firms absorbing higher per-unit costs and air freight premiums to avoid container-ship tariff exposure on 60-day transits — costs that "don't show up as a straight tariff cost, but make everything more expensive."
The play here: diffuse pain is politically durable pain. Republicans running in 2026 own every insurance renewal that lands in a swing-district mailbox.