Washington D.C. – President Donald Trump announced Saturday he is raising tariffs on all goods entering the United States to 15%, escalating a trade dispute triggered by a Supreme Court ruling that struck down a previous set of levies. The move, revealed in a post on his social media platform, comes just days after the court invalidated tariffs imposed under the International Emergency Economic Powers Act (IEEPA).
The latest tariffs, which Trump claims will be “effective immediately,” represent an increase from the 10% rate announced on Friday following the Supreme Court’s decision. In his social media post, Trump stated the administration will “determine and issue the new and legally permissible Tariffs” in the coming months, reiterating his commitment to “Making America Great Again.”
However, the timing of the implementation remains somewhat unclear. While Trump’s announcement suggested an immediate effect, a White House fact sheet released Friday indicated the original 10% tariffs would take effect on at 12:01 a.m. ET. The White House has not yet responded to requests for clarification on the discrepancy.
The escalation follows a Supreme Court ruling that found the President had improperly invoked IEEPA to justify the initial tariffs. The court’s 6-3 decision effectively dismantled a key component of Trump’s trade policy. In response, the President invoked Section 122 of the Trade Act of 1974, allowing for temporary tariffs of up to 150 days, subject to congressional approval for any extension.
Trump reacted strongly to the Supreme Court’s decision, labeling it “ridiculous, poorly written, and extraordinarily anti-American” in a social media post. He also directed criticism towards Justices Neil Gorsuch and Amy Coney Barrett for joining the majority in the ruling.
The new tariffs are expected to have significant repercussions for global trade and the U.S. Economy. While the White House has indicated exemptions for goods compliant with the USMCA (United States-Mexico-Canada Agreement), the broader impact on international markets remains uncertain. Canada and Mexico will continue to be exempt from the new tariffs for goods that meet USMCA requirements.
Congressional reactions have been divided. Democratic lawmakers, including Senate Minority Leader Chuck Schumer, have criticized the tariffs as “chaotic and illegal.” The issue is expected to be a central point of contention in the upcoming midterm elections, with Democrats highlighting the potential economic consequences. Republicans have offered a more nuanced response, with some defending the President’s actions and others questioning the legality of the tariffs.
Financial markets initially reacted with volatility following the Supreme Court’s decision, with stocks briefly rallying before experiencing a pullback and subsequent recovery. Investors are assessing the potential impact of the tariffs on trade relations and economic growth. The ruling has raised expectations that tensions between the U.S. And its trading partners may ease, potentially leading to refunds for affected companies and a reduction in inflationary pressures.
The potential cost of refunds to importers following the Supreme Court’s decision is substantial. Estimates suggest the U.S. Government could owe more than $175 billion in reimbursements. The process for handling these refunds remains unclear, adding to the uncertainty surrounding the new tariff regime.
The President is scheduled to deliver his State of the Union address to Congress on , where the issue of trade and the economy is likely to feature prominently. The unfolding situation underscores the ongoing tensions between the executive branch and the judiciary over trade policy and the limits of presidential authority.
The move represents a significant shift in the U.S. Trade landscape, with potentially far-reaching consequences for businesses, consumers, and the global economy. The coming weeks will be crucial in determining how the new tariffs are implemented and how international partners respond to the escalating trade dispute.
