The administration of US President Donald Trump has reportedly drafted a bill that allows the White House to unilaterally raise tariffs without congressional consent and offers Trump significantly more discretion over US trade policy.
The draft legislation, which Trump ordered in May, would propose having the US abandon key World Trade Organization (WTO) principles, the Axios news website first reported on Sunday.
The bill, called the “United States Fair and Reciprocal Tariff Act,” ignores fundamental WTO principles, said Axios, which reported that it obtained a leaked draft.
Those principles include the prohibition of nations setting different tariff rates for countries outside of free trade agreements and the established tariff ceilings that WTO countries have agreed to.
If the bill were to be passed, “it would be the equivalent of walking away from the WTO and our commitments there without us actually notifying our withdrawal,” a source…