USTR Invokes 'Zombie Statute' to Justify Tariffs on Canadian Goods, Raising Legal Challenges
In 2026, the Office of the United States Trade Representative (USTR) under President Trump imposed new tariffs on Canadian goods, citing a provision from the Smoot-Hawley Tariff Act of 1930, specifically Section 338. This act, often referred to as a 'zombie statute' due to its age and historical discreditation for deepening the Great Depression, allows the president to act against foreign discrimination towards U.S. goods. Critics argue that the current global commerce conditions, governed by agreements like the United States-Mexico-Canada Agreement (USMCA), are vastly different from those in 1930 when the statute was enacted to address issues like imperial preferences. The USTR did not consult the International Trade Commission (ITC) before implementing these tariffs, an agency typically responsible for monitoring U.S. trade. This move follows previous attempts by the administration to impose tariffs under various authorities, many of which have faced legal challenges. The tariffs are intended to force co... 
