Former US President Donald Trump has announced he will raise a proposed "worldwide tariff" from 10% to 15%, following a Supreme Court ruling that struck down his previous authority to impose such levies. The declaration was made via a post on his Truth Social platform on Saturday.
The Supreme Court ruled 6-3 on Friday that Trump did not have the authority to impose tariffs under the International Emergency Economic Powers Act (IEEPA), a national security law. In response, Trump stated he would utilise a separate legal authority, Section 122, to implement a global tariff.
New Legal Pathway for Tariffs
Following the Supreme Court's decision, a White House official confirmed the administration's shift in strategy. "With IEEPA no longer applicable, those countries will now be tariffed at the global 10% tariff using the Section 122 legal authority," the official stated. They added this was a temporary measure while the administration pursues "other legal authorities to implement more appropriate or pre-negotiated tariff rates."
In his Saturday post, Trump wrote: "I, as President of the United States of America, will be, effective immediately, raising the 10% Worldwide Tariff on Countries, many of which have been 'ripping' the U.S. off for decades, without retribution (until I came along!), to the fully allowed, and legally tested, 15% level." The post provided no further specifics on the implementation.
Core of Trump's Trade Strategy
These tariffs, justified under the now-invalidated IEEPA, have been a central weapon in Trump's efforts to renegotiate global trade agreements. They included the so-called "Liberation Day" tariffs announced in April, which imposed levies of at least 10% on nearly every country.
The move signifies Trump's continued commitment to an aggressive trade policy centred on tariffs, a hallmark of his previous and current presidential campaigns. The Supreme Court's ruling represents a significant legal setback, forcing a change in the mechanism but not the policy's ultimate goal.
The administration's next steps remain unclear, pending the pursuit of alternative legal authorities. The announcement sets the stage for potential new trade tensions and underscores the ongoing legal and political battles surrounding executive power in trade policy.