The U.S. Supreme Court ruling that President Donald Trump's sweeping tariffs are illegal is a modern case of David beating Goliath.
This is one of the rare occasions where the majority of conservative judges on the U.S Supreme Court have checked the president’s powers.
The case was brought by Illinois educational toymaker Rick Woldenberg, the CEO of Learning Resources Inc. and its sister company, hand2mind. The Supreme Court ruled 6-3 in favour of the family-owned toymaking business.
In a Reuters article, Woldenberg told reporters that he would have had a hard time “dealing with not acting than acting.”
But the Goliath is not yet overcome. It is merely winded, and getting increasingly angry.
As a result, Trump first decided on a 10 per cent global tariff in a press conference. He said that the Supreme Court’s decision was “deeply disappointing.” He since raised it to 15 per cent.
While the tariffs enacted against Canada under the International Emergency Economic Powers Act are voided, specific tariffs in the steel, aluminum, auto and lumber sectors remain. However, CUSMA (Canada-US-Mexico Agreement) compliant goods are exempt.
This will be a point of contention in the upcoming trade talks between the U.S and Mexico.
For Canada, this win is not symbolic. It is practical, and something they can use to their advantage. Trade prosperity depends on both parties agreeing to a stable and rules-based order.
This fight is not a distant one, and the trade disputes continue across the border. Small Canadian businesses remain vulnerable to sudden changes in policy.
The president will find newer and more creative ways to levy tariffs and hurt other economies. Yet, if small businesses keep challenging his decisions, that can have some impact, no matter how small.
They can shape the legal environment in which they operate. When small businesses defend themselves, they defend accountability and legality.
This case has shown that small businesses are not powerless observers. They have a voice, and they will use it.
Comics writer Alan Moore in V for Vendetta wrote, “People shouldn’t be afraid of their government. Governments should be afraid of their people.”
If more people and small businesses act like Rick Woldenberg, fighting for their way of life, they can make a difference. Canada also has a stake in this fight, and now is a better time than any to remind ourselves to keep our elbows up.
