Supreme Court Strikes Down Trump Tariffs, President Announces New Levies
Washington D.C. – In a significant blow to President Donald Trump’s economic agenda, the Supreme Court on Friday struck down his sweeping unilateral tariffs, sparking immediate backlash and a vow to implement new trade measures. The 6-3 ruling throws U.S. Trade policy into uncertainty, as the President responded by announcing a new 10% global tariff.
Supreme Court Ruling
The Supreme Court determined that the law underpinning the tariffs did not authorize the President to impose them . Chief Justice John Roberts delivered the opinion of the court, with Justices Clarence Thomas, Samuel Alito, and Brett Kavanaugh dissenting . The ruling is a major rebuke to Trump, who has consistently championed tariffs as a key tool in his economic policy .
Trump’s Response: A New 10% Tariff
Following the Supreme Court’s decision, President Trump expressed his disappointment, stating he was “absolutely ashamed” of the justices who voted against his tariffs . He immediately announced plans to sign an executive order imposing a 10% global tariff under Section 122 of the Trade Act of 1974 , . This section of the Act grants the president the power to enact temporary trade measures to address balance of payments issues.
Details of the New Tariff
The new 10% tariff will take effect on February 24 and will be in place for 150 days . However, certain industries will be exempt, including pharmaceutical products and goods imported under the US-Mexico-Canada trade agreement . The White House indicated that trading partners with pre-existing tariff agreements with the Trump administration will also be subject to the new levy, while the administration explores “more appropriate or pre-agreed tariff rates” .
Impact and Uncertainty
The Supreme Court’s decision and the subsequent announcement of new tariffs have created significant uncertainty in global markets . The initial ruling does not affect existing sectoral tariffs on steel, aluminum, and other goods . The long-term implications of these developments remain to be seen, as the Trump administration continues to explore alternative avenues for implementing its trade policies.