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President Lula of Brazil sent an important message at his press conference in New Delhi by suggesting that countries should bargain as ‘negotiating blocs’ with US president Donald Trump regarding his ‘reciprocal tariffs’. Nations would have to give up their ‘beggar thy neighbour’ approach. He translated his experience as a trade union leader regarding bargaining with employers who are much more powerful than the individual worker to argue that when a small country bargains with a larger one, it tends to lose. So, Global South needs to “act together” in negotiating with global superpowers. Possibly, India and Brazil could bring together the Global South.

The idea that other nations should bargain as a bloc with president Trump has been voiced since Trump announced his plan to tariff countries, including the closest allies, Canada and EU. Now President Lula, an important member of BRICS, suggesting it gives the idea the importance it deserves.

Consequences of the US Supreme Court’s Order

The situation has suddenly changed since the US Supreme Court has declared ‘that president Trump exceeded his authority to invoke the 1977 International Emergency Economic Powers Act (IEEPA) to impose reciprocal tariffs’ – they have become unconstitutional. This nullifies the basis of the various agreements signed by the US with other countries since mid-2025. Even if Trump levies fresh tariffs under other laws, the agreements become invalid.

That taxation power lies with the US Congress and not the executive is a foundational principle of the US constitution. The US fought........

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