10% Tariff Imposed
Trump’s Revenge : US President Donald Trump has lost a battle with the judiciary over his trade policy. Hours after the US Supreme Court declared his previous tariffs illegal, Trump signed a new executive order from the Oval Office. Under the new order, a 10% global tariff will now be imposed on imports from all countries entering the US.
Trump’s announcement on social media
Donald Trump shared information about this drastic decision on his social media platform Truth Social. He wrote, “I am proud to announce that I have signed a 10% global tariff on all countries from the Oval Office. It will take effect immediately.” Earlier in a press conference, Trump clarified that he is issuing this order under Section 122 of the Trade Act of 1974. Which will be in addition to the existing tariffs. He also warned that if necessary, he can increase these tariff rates further.
Trump unhappy with Supreme Court decision
The US Supreme Court, in a 6-3 majority decision, rejected the president’s authority to impose tariffs without Congressional approval using the 1977 International Emergency Economic Powers Act (IEEPA). Trump called the court’s decision “very disappointing.” He said he was “embarrassed” by some of the members of the court. He sarcastically said, “It’s ridiculous. I can destroy trade or impose restrictions, but not tariffs.”
The new tariffs will be effective for 150 days.
The new tariffs, imposed under Section 122 of the Trade Act, will be effective for approximately five months (150 days). During this period, the Trump administration will conduct necessary investigations to determine the appropriate tariff rates on other countries. The Trump administration has indicated that new tariffs may also be imposed under Section 232 of the National Security Act and Section 301 of the Unfair Trade Practices Act. . According to US Trade Representative Jameson Greer, details of this legal action will be released in the coming days.
Billions of dollars in refund problems
The Supreme Court’s decision has cast uncertainty over the roughly $175 billion in tax revenue collected last year, which could now be returned. Asked about the refund, Trump said the case could be pending for the next two years. Treasury Secretary Scott Besant said the new legal measures would keep tax revenue largely unchanged through 2026.
