Trump Increases Global Tariffs Following Supreme Court Ruling

In a bold move, President Donald Trump has announced an increase in global tariffs from 10% to 15%, following a recent Supreme Court decision that questioned the legality of tariffs imposed under the International Emergency Economic Powers Act (IEEPA). The ruling, deemed "deeply disappointing" by Trump, stated that the President does not have the authority to impose tariffs using this particular law, which has been in effect since 1977. In a post shared on Truth Social, Trump expressed his frustration with the court's decision, referring to it as "ridiculous and poorly written". He emphasized that he would continue to protect American interests and impose tariffs on countries that he claims have been "cheating the U.S. for decades". "Effective immediately, I hereby declare that I am going to increase the global tariff to 15% on numerous countries," Trump wrote, noting that the tariffs would be legally justified under Article 122 of the Trade Act of 1974, which allows for temporary tariffs of this nature for a maximum of 150 days. As the Trump Administration seeks to navigate the complexities of international trade law, it will be determining new tariffs permissible through existing statutory authorities, particularly looking under Articles 232 and 301 of the Trade Act of 1974. These laws permit tariffs based on national security concerns and unfair trade practices. The Supreme Court's recent ruling does not negate the over $133 billion that the Treasury has already collected from tariffs under the IEEPA. Various companies, including the retail giant Costco, have initiated lawsuits seeking refunds of these costs, arguing that the imposition of tariffs was illegal. Trump stated, "I am ashamed of certain members of the court... for not having the courage to do what is right for our country." Responding to the judiciary's limitations, the President confirmed the continuation of national security tariffs and other existing tariffs, asserting, "We can use other laws and tariff authorities that are fully authorized." The implications for U.S. foreign trade are significant; Trump's administration intends to embark on investigations related to fair trade practices and determine further actions to protect American industries from what he views as unfair competitive practices. As for his legal strategy, Trump retains options available under various articles of the Trade Act of 1974. Article 232 allows tariffs based on national security threats, whereas Article 301 addresses unfair trade practices requiring consultation with foreign governments. Other options include reclassifying specific tariffs under alternative legal grounds or pursuing bilateral agreements with other countries to establish structured trade frameworks, although these methods might be time-consuming and face legal challenges. Despite the limitations imposed by the Supreme Court, Trump's determination to reshape the tariff landscape remains evident. His fervent approach aims to bolster American industries while confronting foreign competitors, a hallmark of his presidency’s economic agenda as he seeks to "make America great again". Related Sources: • Source 1 • Source 2