What is ‘tariff stacking’? | Inc.

What is ‘tariff stacking’? | Inc.

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Segment 1 (00:00 - 01:00)

Trump has made tariffs a key part of his, you know, platform. And when there's a will, there's a way. So, obviously, there's new sorts of tariffs. What do those look like? And what are they doing to business uncertainty? Absolutely. Just because the AIPA tariffs have been settled in court, doesn't mean that the Trump administration can't look to other mechanisms to implement tariff policy. And the administration has already said as such, and they've been looking for new ways to justify that decision. To be clear, the Supreme Court's uh decision does not eradicate previous tariffs from prior administrations, from the prior Trump administration, from the Biden administration. And notably, this is a kind of what we call tariff stacking where you start at zero and then the Biden administration implements a 10% tariff and then the Trump administration comes in and implements another 15%, then you're reckoning with a 25% aggregate compared to what you were, you know, two years ago. So it is just to delineate for those listening and watching that those tariffs as if they're outside of the scope of AIPA, they are not affected here. You would still be paying those. But again, the AIPA tariffs as we previously were discussing, Chloe, they're not a small amount. And I think that's kind of what everyone's looking to for the weeks to come is what does duty drawback look

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