Global Markets Brace as Trump Hikes Tariffs to 15 Percent

• Trump hikes new global tariff from 10 to 15 percent immediately.
• Follows Supreme Court ruling limiting emergency tariff powers.
• Relies on 1974 Trade Act for temporary duties up to 150 days.

President Donald Trump announced an immediate increase in the new worldwide tariff rate on imports to the United States. The adjustment moves the levy from 10 percent to the full 15 percent allowed under current law. This step reportedly follows his review of the Supreme Court decision issued one day earlier that restricted presidential use of emergency powers for such measures.

The president described the high court opinion as poorly written and anti-American in his public statement. He directed officials to apply the higher rate without delay to countries long accused of unfair trade practices. The move builds directly on a fresh executive order signed the previous evening.

The policy targets most imported goods from around the globe.

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Supreme Court Limits on Tariff Authority

The Supreme Court ruled six to three on February 20 that the International Emergency Economic Powers Act does not grant the president power to impose tariffs. Challengers including small businesses and several states argued successfully that such authority belongs exclusively to Congress under the Constitution. The decision vacated key portions of prior tariff programs enacted last year.

Trump shifted to Section 122 of the Trade Act of 1974 for the current action. This statute reportedly permits a temporary import surcharge of up to 15 percent to address serious balance of payments deficits. The authority expires after 150 days unless Congress approves an extension.

Implementation and Exemptions

Administration staff will determine additional legally permissible tariffs over the next several months. Officials plan to maintain exemptions for goods from Canada and Mexico as well as certain agricultural products, pharmaceuticals, and critical minerals.

Many trading partners have already signaled potential retaliation.

Domestic industries protected by higher duties may see short term gains. Consumers and businesses reliant on imported components could face elevated costs in the months ahead.

Media reporting for this story: 41% Left | 22% Right | 30% Center | 7% Unrated