America stuck in tariff dispute | Japan’s PM resigns” | India’s strategic advancement

America stuck in tariff dispute | Japan’s PM resigns” | India’s strategic advancement

America stuck in tariff dispute | Japan’s PM resigns” | India’s strategic advancement

U.S. Treasury Secretary Scott Bessent warned on Sunday that if the Supreme Court rules President Trump’s tariffs illegal under the 1977 International Emergency Economic Powers Act (IEEPA), the U.S. could owe refunds of $750 billion to $1 trillion—about half the collected duties—delivering a “terrible” blow to the Treasury. By August 2025, tariffs generated over $70 billion, with annual revenue hitting $180 billion, including 50% levies on steel and aluminum, and threats of up to 100% on semiconductors and 250% on pharmaceuticals. A Federal Circuit Court ruling on August 29 invalidated most broad tariffs, stayed until October 14 for appeal, but spared Section 232 national security duties on steel, aluminum, and autos.

Japan’s auto industry reeled from the initial 25% tariffs, downgrading growth forecasts and fueling inflation that eroded public support. Prime Minister Shigeru Ishiba resigned Sunday after securing a deal reducing tariffs to 15% in exchange for $550 billion in U.S. investments, amid his party’s election losses and internal rifts. The yen weakened, bond sales surged, and the new leader faces balancing U.S. pressures with domestic recovery.

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