
The Trump administration has taken rapid action to implement key policy priorities, affecting both federal agencies and the private sector.
During the first two weeks of the new administration, Latham lawyers have been carefully monitoring the executive branch as it implements President Trump’s policy priorities through executive orders and other agency actions. Our experienced practitioners have analyzed many of these actions with a focus on how they might impact entities in key industries.
Below is a high-level overview of these actions, broken down by topic, along with updates on related court challenges, personnel changes, and other breaking developments in their implementation.
Energy and Environment
President Trump signed a series of executive orders and memoranda that aim to cut back regulation; increase domestic oil, natural gas, and coal production; and limit the development of certain forms of alternative energy production. (For more detailed information, see this blog post.) These actions include:
- Declaring a “national energy emergency” that directs agencies to exercise emergency authorities to boost conventional energy production — including crude oil, natural gas, and coal
- Withdrawing from international climate agreements, including the Paris Agreement
- Calling for the elimination of electric vehicle mandates imposed by President Biden, and pausing disbursement of funds for electric vehicle charging stations (for more detailed information, see this blog post)
- Directing the Council on Environmental Quality to provide revised guidance on existing National Environmental Policy Act (NEPA) implementing regulations, and proposing to rescind current NEPA regulations within 30 days
- Halting wind energy leasing across all areas of the Outer Continental Shelf
On top of these executive orders, the Trump administration has issued a memorandum halting all pending environmental litigation, according to several news sources.
Status of Challenges
So far, there have not been any significant court challenges or rulings on this first tranche of environmental executive actions. But these actions foreshadow changes in the regulatory landscape that likely will have a significant impact.
Digital Assets
The new administration has announced key changes in banking and finance regulation, especially as it applies to digital assets. In an executive order titled “Strengthening American Leadership in Digital Financial Technology,” President Trump announced several initiatives and policy priorities, including:
- Establishing the Presidential Working Group on Digital Asset Markets “to strengthen U.S. leadership in digital finance,” to be chaired by “AI and Crypto Czar” David Sacks, and include the secretaries of Treasury and Commerce, the attorney general, and the chairs of the SEC and CFTC
- Directing the Working Group to “identify all regulations, guidance documents, orders, or other items that affect the digital asset sector” and submit recommendations within 60 days with respect to whether each identified item should be rescinded or modified
- Prohibiting agencies from undertaking any action to establish or promote Central Bank Digital Currencies
Our experienced practitioners will continue to monitor developments in this area as the Working Group makes its recommendations.
Trade Policy
President Trump has committed to using tariffs on foreign trading partners as a central element of his political and financial strategy. On his first day in office, the president issued a memorandum titled “America First Trade Policy,” which outlines the trade priorities for his administration and directs federal agencies to evaluate key aspects of US trade policy.
The administration is moving quickly on this front. According to several news sources, President Trump announced on January 31 that he intends to impose 25% tariffs on Canadian and Mexican imports, potentially by February 1. How broadly these tariffs will apply remains uncertain. For example, speaking to reporters on January 30, President Trump indicated that the tariffs on Canadian and Mexican imports may not include crude oil.
To help companies navigate the tariff policies, Latham lawyers will host a webcast on February 5, 2025, from 12-1 p.m. ET. Register here.
Immigration
The Trump administration has issued several executive orders relating to immigration enforcement, many of which are already being challenged in courts. In brief, President Trump has issued directives:
- Enhancing vetting for visa applicants, including heightened scrutiny for foreign nationals born in “high risk” countries
- Placing limits on birthright citizenship — an order which has already been blocked by a federal district court judge in the Western District of Washington
- Expanding the use of expedited removal for recent entrants
- Declaring a national emergency at the southern border, which includes authorizing the use of physical barriers and the armed forces to deny unauthorized entry to the United States (for more detailed information, see this blog post)
Status of Challenges
As mentioned above, the birthright citizenship executive order is already being challenged in several federal district courts across the country. An advocacy group has also challenged the administration’s expanded use of expedited removal.
Federal Workforce
The Trump administration has rolled back civil service protections for certain federal workers, restoring a policy that President Trump had adopted in his previous administration, known as “Schedule F.” According to several news sources, a restored Schedule F would strip several thousand federal workers of employment protections, potentially resulting in resignations and firings.
Whether this action will impact the private sector remains to be seen. But it could reduce the number of federal employees involved in regulatory oversight — potentially affecting both enforcement actions as well as the processes for regulated parties to seek approval for their projects.
Additionally, as several news sources have reported, the Trump administration has offered nearly 2 million government employees the opportunity to accept “deferred resignation” with eight months’ pay. The legal status of this action remains uncertain. However, like Schedule F, it could reduce the overall size of the federal workforce.
Status of Challenges
A federal employees’ union and public interest group have separately challenged the president’s Schedule F order on due process grounds.
Diversity, Equity, and Inclusion (DEI)
In two executive orders (here and here), President Trump has moved to eliminate DEI initiatives both within the federal government and with federal contractors (for more detailed information, see this blog post). Key actions include:
- Rescinding Executive Order 11246, which was signed by President Johnson in 1965 to implement civil rights priorities in federal contracting
- Ordering federal agencies to terminate all DEI and “environmental justice” offices and positions and end all “equity-related” grants or contracts
- Requiring counterparties to government contracts or grants to certify that they do not operate programs promoting DEI that violate any applicable federal anti-discrimination laws
- Terminating all “diversity,” “equity,” and “equitable decision-making” mandates for federal contracts
- Ordering a review of FAA hiring decisions following the deadly crash of an American Airlines flight and military helicopter near Ronald Reagan Washington National Airport
These executive orders lay the groundwork for increased federal scrutiny of DEI programs. Our experienced practitioners will continue to monitor developments on this front, and stand ready to advise companies navigating these evolving expectations.
Status of Challenges
Although these executive orders have not faced any direct legal challenges so far, several states and nonprofit organizations have challenged the administration’s DEI spending freeze, as discussed below.
Federal Spending
In response to President Trump’s executive orders, the Office of Management and Budget (OMB) issued a memorandum temporarily pausing all agency grant, loan and other financial assistance programs while agencies review them for compliance with those orders. Several states and nonprofit organizations that receive financial assistance challenged the memorandum in federal court, and on January 28, Judge AliKhan of the US District Court for the District of Columbia temporarily blocked the memorandum’s implementation until February 3 at 5 p.m. ET.
The next day, January 29, OMB rescinded the challenged memorandum and the spending freeze it instructed. The White House Press Secretary, however, stated that President Trump’s executive orders (that the memo was intended to ensure compliance with) remain in full force.
Key Appointments and Personnel Moves
The following Cabinet posts have been confirmed as of January 31: Marco Rubio (State); Pete Hegseth (Defense); Sean Duffy (Transportation); Doug Burgum (Interior); Scott Bessent (Treasury); Kristi Noem (Homeland Security); Lee Zeldin (EPA); and John Ratcliffe (CIA).
Hearings have been held, but confirmations have not been secured for: Robert F. Kennedy, Jr. (Health and Human Services); Pam Bondi (Attorney General); Chris Wright (Energy); Russell Vought (OMB); Scott Turner (Housing and Urban Development); Doug Collins (Veterans’ Affairs); Tulsi Gabbard (Director of National Intelligence); and Kash Patel (FBI).
Antitrust
- Former FTC Commissioner Andrew Ferguson began his new role as FTC Chair, replacing former Chair Lina Khan. Prior to serving as a Commissioner, Ferguson was Solicitor General of Virginia and Chief Counsel to Senator Mitch McConnell in the Senate Judiciary Committee.
- President Trump selected Gail Slater to lead the Department of Justice Antitrust Division. Slater previously worked as an advisor to President Trump for technology, telecommunications, and cybersecurity, and as a senior vice president at Fox Corporation.
Energy and Environment
- On January 29, the Senate confirmed Lee Zeldin, President Trump’s pick to lead the Environmental Protection Agency. Zeldin is a former Republican Congressman from New York.
- On January 30, the Senate advanced Chris Wright, President Trump’s nominee to head the Department of Energy, for a final confirmation vote. Wright was the CEO and founder of Liberty Energy Inc.
Department of Justice
- President Trump nominated former Trump defense counsel Todd Blanche to be deputy attorney general — the second-highest-ranking position at the DOJ.
- D. John Sauer, the former Solicitor General of Missouri who represented President Trump before the Supreme Court in Trump v. United States, was nominated for solicitor general.
- The president also tapped Harmeet Dhillon to lead the DOJ’s Civil Rights Division, a group that will be deeply involved in the some of the administration’s DEI-related activity discussed above.