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International Political Bribery and Illegal Accounting Practices Are Now Just Fine, for Six Months or Longer

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 Late on February 10, the White House finally published the majority of the President's actions today.


President Trump reinstates his first-term tariffs on steel and aluminum imports.

Pausing the FCPA

The president ordered the Department of Justice to pause the Foreign Corrupt Practices Act unit, for the United States. According to the DoJ website, the FPCA "was enacted for the purpose of making it unlawful for certain classes of persons and entities to make payments to foreign government officials to assist in obtaining or retaining business." The unit charged with enforcing this act enforces anti-bribery laws as well as corporate accounting practices.

The order states, "President Trump is stopping excessive, unpredictable FCPA enforcement that makes American companies less competitive."

The DoJ is ordered to stop enforcing laws against bribery and book-cooking until the Attorney General decides which laws are convenient to the United States, up to 180 days.

Tariff On Steel Imports

Ostensibly to make the United States more competitive in the world and to improve national security, President Trump announced a 25% across-the-board tariff on steel and aluminum imports, to begin in March, without any exceptions. Trump hopes to make steel and aluminum mined and refined in the United States more competitive in the market. What this actually means is that average steel prices go up, so that the more expensive steel in the United States looks better to purchases. However, on the ground floor, consumers pay more for products containing these metals.  This is not mentioned in the long executive order, except in the jargon of economics.

As other nations find their excess steel less competitive in the export market, they will find other trading partners and expand their own internal markets. 

Canada responded immediately that it would respond with retaliatory tariffs. Mexico signaled that it was preparing a response, and many other countries, as well as the European Union also said they would respond proportionally to new tariffs. Meanwhile, U.S. based steel refiners experienced a boost to stock prices.

Tariffs are not new with the new Trump Administration.  Biden had placed tariffs on Mexico of 25% for steel and 10% on aluminum, for metals not melted and poured in Mexico.  This was done in attempt to keep Chinese steel from being funneled through the country. 

In 2018, Trump announced across the board tariffs on imported steel and aluminum, but numerous exceptions were soon granted when American corporations successfully argued to the administration that they would be irreparably harmed by the price increases.


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