The tariff letters of President Trump to the world leaders are attracting a lot of attention. But this is not the entirety of their business strategy.

This week he also swims the idea of pharmaceutical tariffs, for example.

“Pharmaceuticals will probably be targeted at the end of the month,” he told reporters. “And we are going to start with a low tariff and giving to the pharmaceutical companies in one or a year to build. And then we’re going to make it very high tariffs.”

Broadly, Trump is putting two separate -different, overlapping sets of tariffs authorized by two separate, two separate laws.

One set includes tariffs that they are announcing in the letters of the country-by-country. For the International Emergency Economic Forces Act, IEPA is known to the trade circle as tariff.

Then there are tariffs on various products, such as pharmaceuticals. Those who are known as Section 232 tariffs – nominated for a part of the 1962 business law. They are not as broad as tariffs Ieepa tariffs, but they cover a large part of imports. In addition, experts say they are more likely to face legal challenges.

How is Section 232 tariffs used?

Trump has greatly used Section 232.

“I think the use of his use can be depicted quite depicted as a revolutionary in his first term,” said Tim Keeler, a business advocate, who served in the office of the US Business Representative under President George W Bush. “It was not really used too much before coming to the office.”

The first step to apply one of these tariffs is an investigation by a commerce department. Before Trump, This type of last investigation took place in 2001Currently, Trump has two sets of 232 tariffs and Nine more in the process,

A major topic in those investigations is national security – by law, Section 232 tariffs are considered to help in national security.

Not everyone thinks that Trump’s tariffs will do this, however.

“I think it is important to have a healthy steel and aluminum industry in the United States,” said Ed Gorcer of Progressive Policy Institute. “But the argument that you can make it through tariff are some very serious flaws.”

A more efficient way to promote a domestic industry, he said, is through subsidy. Gorcer, who worked for the American trade representative under the President Joe Biden, also said that, for example, ships and aircraft are important for national security, and 232 tariffs on steel and aluminum make them more expensive.

It is also possible that according to Jake Colvin, president of the National Foreign Trade Council, implementing the global 232 tariffs can be actively spoiled for national security.

“If we all may agree that it is a national security priority to away from China and removing diversity, then we should develop a very strong relationship with our colleagues,” he said. “At the same time we are now putting tariffs on steel and aluminum from our friends and colleagues, which we should actually work together to strengthen our economy.”

The Trump administration, for its share, states that domestic manufacturing is better for national security than relying on other countries.

What is the effect?

Gorcer at Progressive Policy Institute, calculates that Section 232 tariffs will apply to about 30% imports. Ieepa tariff, comparatively, will cover 70%. This 232 tariff may look small, but Greesr insisted that they are still big.

“They are still very large, and they can be extended. You can file more of these cases,” he said.

In addition, 232 tariffs can exceed a certain condition, speaking legally.

Earlier this year, a federal court ruled that tariffs from the country and country are illegal. The Trump administration is appealing to that decision, and for now, they are still in place – they are set to 10% on almost all imports with some exceptions.

The high tariff President threatened other world leaders in a hurry of letters that did not cut the trade deals with them, determined to implement on 1 August.

On the other hand, Section 232 tariffs have already been tested, said trade lawyer Keeller.

He said, “He was challenged in court by many different aspects, which were all retained at the federal circuit level,” he said.

All of this outlines a common criticism of Trump’s tariff approach: it is very broad.

“The real challenge in the current environment is that we are looking at Tariff as a hammer and every problem with our colleagues and opponents – whether economic or not – as a nail.”