Trump says he will increase his new global tariffs to 15%
Trump Announces Plan to Boost Global Tariffs to 15%
Donald Trump, the U.S. president, announced his intention to raise tariffs to 15% as he criticized a recent Supreme Court decision that invalidated his earlier import taxes. Following the ruling, he revealed that the 10% tariffs, initially set to apply to all goods entering the country, would be adjusted to the highest allowable rate under a seldom-used trade law. This temporary measure, under Section 122 of the 1974 Trade Act, will remain in effect for approximately five months before requiring congressional approval.
Supreme Court’s Impact on Tariff Authority
The court’s 6-3 ruling determined that Trump had exceeded his constitutional authority when imposing broad global tariffs last year via the International Emergency Economic Powers Act (IEEPA). The decision highlighted that the tariffs, which had generated over $130 billion in revenue, were based on a law that no longer supported their implementation. Trump labeled the ruling “ridiculous, poorly written, and extraordinarily anti-American,” accusing the justices of undermining his economic strategy.
Three liberal justices, including Chief Justice John Roberts, voted to dismantle the tariffs, while three conservative justices—Clarence Thomas, Brett Kavanaugh, and Samuel Alito—dissented. The court’s action posed a challenge to Trump’s plans, which aim to incentivize domestic manufacturing by making U.S. production more competitive. However, the ruling also left some tariffs, such as those on steel, aluminum, lumber, and automobiles, unaffected, as they were established under different legal frameworks.
Reactions from Business Leaders and Analysts
“It is a setback for poor people in America that had a chance to climb into the middle class with great manufacturing jobs,”
stated Drew Greenblatt, owner of Marlin Steel Wire Products in Baltimore. Meanwhile, John Boyd, a Virginia soybean farmer and founder of the National Black Farmers Association, viewed the decision as a “huge win” for free trade, calling it a “big loss for the president.”
“While it may seem like a good day for free trade, I think trade actually just got a lot messier,”
noted Allie Renison, a former UK trade adviser. She pointed out that businesses now face an inconsistent tariff system, with some goods subject to 15% levies while others, like critical minerals and pharmaceuticals, remain exempt.
Following the court’s ruling, the White House informed that countries such as the UK would face the 15% global tariff under Section 122, replacing their prior agreements. The UK government emphasized that its trade deals in sectors like steel, pharmaceuticals, and aerospace would remain intact, asserting that the “privileged trading position” with the U.S. would persist. William Bain of the British Chambers of Commerce expressed concern over the potential for further disruptions in the U.S. trade policy landscape.
As the tariff changes take effect, the U.S. trade deficit—now at $1.2 trillion—has continued to rise, with this week’s figures showing a 2.1% increase compared to 2024. Trump’s move to escalate tariffs underscores his determination to counter the court’s decision, even as it raises questions about the long-term stability of his economic agenda.
