Swift Action After Supreme Court Setback
US President Donald Trump announced an immediate increase in global tariffs from 10% to 15%, a day after the Supreme Court struck down his previous emergency powers-based tariffs. Trump argued that the court’s ruling “merely overruled a particular use of IEEPA” and emphasized that other legal avenues remain available for maintaining trade protections.
Legal Limits and Alternative Measures
The Supreme Court’s 6–3 decision highlighted that only Congress has the authority to impose taxes, including tariffs. Chief Justice John Roberts noted that taxing power was never granted to the executive branch. To continue his trade agenda, the administration plans to rely on Section 301 and Section 122 of the Trade Act of 1974, which allow targeted investigations and temporary import surcharges, though both carry stricter time limits and procedural requirements compared with the emergency powers previously used.
Business Pushback and Market Concerns
The tariff increase faces challenges from states and businesses, ranging from small importers to major retailers, questioning its legality and potential economic impact. While some tariffs remain in effect, there are concerns about affordability and the cost to consumers. Despite criticism, the White House insists it will explore all available legal tools to enforce trade protections and counter what it views as unfair foreign practices.
