Donald Trump Announces 15% Global Tariffs After Supreme Court Blocks Previous Import Taxes
Donald Trump has announced plans to impose 15% global tariffs on all imports into the United States, escalating his trade policy after the Supreme Court of the United States struck down his earlier import taxes.
The US president initially said on Friday that his administration would introduce a 10% tariff on all goods entering the US to replace the levies invalidated by the court. However, on Saturday, Trump revealed on Truth Social that the tariff rate would instead rise to 15% — the maximum allowed under Section 122 of the 1974 Trade Act, a trade law that has never previously been used in this way.
Section 122 of the 1974 Trade Act Explained
The new tariffs will be implemented under Section 122 of the Trade Act of 1974, which allows the president to impose temporary import restrictions for up to five months without immediate congressional approval. After that period, the administration must seek authorization from Congress to extend the measures.
The original 10% tariffs were scheduled to take effect on Tuesday, 24 February, but it remains unclear whether the increased 15% rate will begin on the same date. The White House has not yet confirmed the timeline.
Impact on UK, Australia and Other Trade Partners
The proposed 15% tariff raises uncertainty for countries such as the United Kingdom and Australia, which had previously negotiated agreements setting import duties at 10%. The increase could affect existing trade arrangements and spark renewed tensions with key US allies.
Supreme Court Blocks Trump’s Earlier Tariffs
The escalation follows a 6–3 ruling by the Supreme Court, which determined that Trump exceeded his presidential authority when he imposed sweeping global tariffs last year using the International Emergency Economic Powers Act (IEEPA).
The court ruled that the president’s use of IEEPA to justify broad trade levies went beyond the scope intended by Congress. According to government data, the US has already collected at least $130 billion in tariff revenue under IEEPA.
Trump sharply criticized the ruling, describing it as “ridiculous, poorly written, and extraordinarily anti-American.” He also said he was “ashamed of certain members of the court” and labeled the justices who rejected his trade policy as “fools.”
What Happens Next?
With the new 15% global tariffs set to take effect under Section 122 authority, attention now turns to Congress, which would need to approve any extension beyond the temporary five-month window. The decision could have significant implications for global trade, US allies, and international markets.
Trump Tariffs Central to Economic Policy as Supreme Court Ruling Challenges Agenda
Donald Trump has long argued that his tariff strategy is a cornerstone of his economic policy, designed to encourage companies to manufacture goods in the United States rather than overseas. However, the recent ruling by the Supreme Court of the United States represents a major limitation on presidential trade powers and a significant setback to his second-term agenda.
Trump maintains that higher import taxes are necessary to reduce the US trade deficit — the gap between imports and exports. Yet new government data shows the trade deficit has widened by 2.1% compared with 2024, reaching approximately $1.2 trillion (£890bn), marking a new record high.
Business Reaction Divided Over Supreme Court Decision
The court’s decision has drawn mixed reactions from business leaders and industry groups.
Drew Greenblatt, owner of Marlin Steel Wire Products, a steel manufacturing company based in Baltimore, said he was “very disappointed” by the ruling.
“It is a setback for poor people in America that had a chance to climb into the middle class with great manufacturing jobs,” he told the BBC.
In contrast, John Boyd, a Virginia soybean farmer and founder of the National Black Farmers Association, welcomed the decision.
“This is a huge win for me and a big loss for the president. I don't care how you look at it, President Trump lost on this.”
Trade Experts Warn of “Patchwork” Tariff Policy
Allie Renison, former UK government trade adviser and now director at SEC Newgate, said the ruling could create greater uncertainty for businesses.
“While it may seem like a good day for free trade, I think trade actually just got a lot messier,” she said.
Renison warned that companies are now facing a more complex and fragmented US tariff structure, as the administration shifts to alternative legal mechanisms.
15% Tariffs Under Section 122 of the Trade Act
Under Section 122 of the Trade Act of 1974, the Trump administration plans to impose a 15% tariff on most goods imported into the United States. The measure allows temporary import restrictions for up to five months without congressional approval.
However, certain products — including critical minerals, metals, and pharmaceuticals — are expected to be exempt.
At the same time, separate tariffs on steel, aluminium, lumber, and automobiles remain in place. These were introduced under different trade authorities and were not affected by the Supreme Court’s ruling.
What This Means for US Businesses
The evolving tariff framework means American importers will face higher costs on most goods, while navigating exemptions and sector-specific levies. Analysts say the shifting legal basis for tariffs could increase uncertainty for global trade partners and US companies alike.
UK and EU React to Trump’s 15% Global Tariffs Under Section 122
A White House official confirmed on Friday that countries which previously negotiated trade agreements with the United States — including the United Kingdom — would now face the new 15% global tariff under Section 122 of the Trade Act of 1974, rather than the lower rates agreed in earlier deals.
The move follows President Donald Trump’s decision to introduce temporary import tariffs after a ruling by the Supreme Court of the United States blocked his previous trade measures.
UK Trade Deals Largely Unaffected in Key Sectors
Despite concerns, UK agreements covering major industries — including steel, aluminium, pharmaceuticals, automobiles, and aerospace — remain unaffected. These sectors represent the majority of British exports to the US.
The UK government said it expects Britain’s “privileged trading position with the US” to continue, adding that whether previously negotiated tariff arrangements remain valid is ultimately “a matter for the US to determine.”
William Bain, head of trade policy at the British Chambers of Commerce, warned that President Trump’s response to the Supreme Court ruling “could be worse for British businesses.”
A leading UK business representative also described the new 15% US import tariffs as “bad for trade, bad for US consumers and businesses,” cautioning that the policy risks weakening global economic growth.
EU Trade Deal Faces Uncertainty After Tariff Announcement
The impact of Trump’s tariff announcement is also being felt in Europe. The chairman of the European Parliament’s International Trade Committee said he would push to pause ratification of a trade agreement between the European Union and the United States.
Bernd Lange, a German Social Democrat Member of the European Parliament, told BBC Newshour that the newly announced tariffs raise “several issues” requiring clarification before the vote proceeds.
The committee had been scheduled to vote on the EU-US trade deal on Tuesday, but the introduction of fresh US tariffs has added new uncertainty to transatlantic trade relations.
Growing Global Trade Tensions
With the US moving ahead with 15% tariffs under Section 122 authority, allies including the UK and EU now face renewed uncertainty over existing trade agreements. Economists warn the policy shift could complicate global trade flows and increase costs for businesses and consumers on both sides of the Atlantic.
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