U.S. President Donald Trump said he intends to raise the global tariff rate to 15%, following a Supreme Court decision that ruled he had overstepped his authority in imposing sweeping import taxes last year.
In a social media post, Trump said his decision came “based on a thorough, detailed, and complete review” of what he described as a “ridiculous, poorly written, and extraordinarily anti-American” ruling by the Court.
Supreme Court Blocks Previous Tariffs
In a 6–3 decision, the Supreme Court held that Trump exceeded his authority under the 1977 International Emergency Economic Powers Act (IEEPA) when he imposed broad tariffs on goods from nearly every country.
Chief Justice John Roberts wrote that when Congress delegates tariff powers, it does so explicitly and with strict limits, adding that if Congress had intended to grant such extraordinary authority, it would have stated so clearly.
Three conservative justices dissented, while two Trump-appointed justices joined the majority.
New Tariff Under Section 122
Following the ruling, Trump signed a proclamation imposing a new 10% global tariff under Section 122 — a never-before-used provision allowing tariffs of up to 15% for 150 days unless extended by Congress.
The new measure is set to take effect on February 24. Trump later stated he wants to raise the rate to 15%.
The order includes exemptions for certain minerals, natural resources, fertilizers, some agricultural products such as oranges and beef, pharmaceuticals, select electronics and certain vehicles.
Canada and Mexico will retain exemptions under the USMCA trade pact.
Refund Debate and Political Reaction
The Court’s decision potentially opens the door to billions of dollars in tariff refunds. However, Trump indicated that any refunds would likely face lengthy legal battles.
California Governor Gavin Newsom called the tariffs an “illegal cash grab” and demanded refunds. Illinois Governor JB Pritzker sent Trump an invoice seeking nearly $9 billion in tariff reimbursements.
Markets reacted positively, with the S&P 500 rising about 0.7% following the announcement.
Trump Criticizes the Justices
Speaking at the White House, Trump said he was “absolutely ashamed” of the Republican-appointed justices who voted against his policy, calling them “fools” and “very unpatriotic and disloyal to our Constitution.”
