Strategic tariffs and trade realignment: Implications for global supply chains and procurement under Trump’s second term

Abstract

The Trump administration’s use of tariffs during its second term marked a significant shift from traditional trade policy, employing a more systemic and assertive approach to reshape global trade relations. This paper examines the legal, economic and geopolitical dimensions of these tariff actions, focusing on the evolving use of emergency trade authorities such as the International Emergency Economic Powers Act. It analyses recent court rulings that challenge the legal foundation of broad tariff impositions and explores potential outcomes and implications for future US trade policy. For procurement and supply chain professionals, the shifting landscape demands heightened strategic risk management and operational agility. The paper offers practical frameworks to navigate evolving tariffs, emphasising proactive supply chain mapping, scenario planning and contract flexibility. By placing these developments within the historical context of US trade strategy and current geopolitical realities, it provides insights into the redefined role of tariffs as indispensable instruments of modern economic statecraft. This article is also included in The Business & Management Collection which can be accessed at https://hstalks.com/business/.