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President Donald Trump plans to increase his new global tariff to 15%, up from the 10% rate that he announced a day earlier, after a major pillar of his trade policy was rejected by the Supreme Court.The 6-3 ruling released on Friday found that Trump violated the Constitution when he used an emergency law to impose sweeping tariffs without congressional approval.The decision struck down one legal strategy, but it’s not the only tool at the president’s disposal to set trade policy. Trump is now turning to a different law, Section 122 of the Trade Act of 1974, to impose a 15% tariff on imports from around the world. Congress granted the president some authority to address trade deficits in this statute, but it comes with limits. The tariffs can’t exceed 15% and will expire after 150 days, unless lawmakers approve an extension. Asked on Friday if he plans to ask Congress to take additional action on tariffs, Trump said, “I don’t need to. It has already been approved. I mean, I would ask Congress and probably get it.”Experts note that the legal limits of Section 122 when it comes to tariffs are untested. This is the first time that a president has used the authority in this way.”If Congress declines to act, the administration could, at least in theory, allow the tariffs to lapse, declare a new balance-of-payments emergency, and restart the clock. The maneuver would raise serious separation-of-powers concerns, but nothing in the statute clearly forbids it,” writes Clark Packard, a research fellow at the Cato Institute.The president has also indicated that he plans to utilize other parts of federal law to pursue tariffs in the coming months, but the Commerce Department needs to conduct investigations first.”During the next short number of months, the Trump Administration will determine and issue the new and legally permissible Tariffs, which will continue our extraordinarily successful process of Making America Great Again,” Trump wrote on social media on Saturday. The White House didn’t immediately respond to emailed questions asking whether the president had signed an updated executive action reflecting the 15% global tariff rate announced on Saturday. A White House fact sheet released on Friday said that the previously announced 10% duty would take effect at 12:01 a.m on Tuesday, Feb. 24, the same day as Trump’s State of the Union address to Congress. The fact sheet also noted several tariff exemptions, including certain agricultural products and electronics. The rapid updates following the Supreme Court’s ruling underscore the continued uncertainty for trading partners and businesses in this new chapter for tariff policy. “This is so dumb. He’s just making it up as he goes and Americans pay the price,” wrote Senate Minority Leader Chuck Schumer in a social media post on Saturday.
President Donald Trump plans to increase his new global tariff to 15%, up from the 10% rate that he announced a day earlier, after a major pillar of his trade policy was rejected by the Supreme Court.
The 6-3 ruling released on Friday found that Trump violated the Constitution when he used an emergency law to impose sweeping tariffs without congressional approval.
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The decision struck down one legal strategy, but it’s not the only tool at the president’s disposal to set trade policy.
Trump is now turning to a different law, Section 122 of the Trade Act of 1974, to impose a 15% tariff on imports from around the world. Congress granted the president some authority to address trade deficits in this statute, but it comes with limits. The tariffs can’t exceed 15% and will expire after 150 days, unless lawmakers approve an extension.
Asked on Friday if he plans to ask Congress to take additional action on tariffs, Trump said, “I don’t need to. It has already been approved. I mean, I would ask Congress and probably get it.”
Experts note that the legal limits of Section 122 when it comes to tariffs are untested. This is the first time that a president has used the authority in this way.
“If Congress declines to act, the administration could, at least in theory, allow the tariffs to lapse, declare a new balance-of-payments emergency, and restart the clock. The maneuver would raise serious separation-of-powers concerns, but nothing in the statute clearly forbids it,” writes Clark Packard, a research fellow at the Cato Institute.
The president has also indicated that he plans to utilize other parts of federal law to pursue tariffs in the coming months, but the Commerce Department needs to conduct investigations first.
“During the next short number of months, the Trump Administration will determine and issue the new and legally permissible Tariffs, which will continue our extraordinarily successful process of Making America Great Again,” Trump wrote on social media on Saturday.
The White House didn’t immediately respond to emailed questions asking whether the president had signed an updated executive action reflecting the 15% global tariff rate announced on Saturday.
A White House fact sheet released on Friday said that the previously announced 10% duty would take effect at 12:01 a.m on Tuesday, Feb. 24, the same day as Trump’s State of the Union address to Congress. The fact sheet also noted several tariff exemptions, including certain agricultural products and electronics.
The rapid updates following the Supreme Court’s ruling underscore the continued uncertainty for trading partners and businesses in this new chapter for tariff policy.
“This is so dumb. He’s just making it up as he goes and Americans pay the price,” wrote Senate Minority Leader Chuck Schumer in a social media post on Saturday.
