Trump new global tariffs – US President Donald Trump has announced that his new global tariffs will be raised to 15%, following a Supreme Court ruling that struck down his previous import taxes. This development marks a significant moment in international trade, affecting US businesses, consumers, and global trading partners such as the UK, EU, and Australia.
Supreme Court Ruling on Previous Tariffs
On 20 February 2026, the US Supreme Court issued a 6-3 decision ruling that Trump had exceeded his powers when he imposed sweeping tariffs using the International Emergency Economic Powers Act (IEEPA) of 1977.
- The court concluded that only Congress has the authority to create new taxes, and the IEEPA does not permit the president to levy import tariffs as a source of revenue.
- Trump had originally imposed tariffs on nearly all imports, citing emergency claims related to fentanyl trafficking and the US trade deficit.
- Estimates suggest the IEEPA tariffs generated $130 billion in revenue, much of which is now in legal limbo.
Trump reacted to the ruling by criticizing the court, calling it “ridiculous, poorly written, and extraordinarily anti-American,” and expressing disappointment in certain justices.
The Shift to Section 122 Tariffs
Immediately after the ruling, Trump introduced a 10% global tariff on almost all US imports under Section 122 of the Trade Act of 1974.
- Section 122 allows temporary tariffs up to 15% for 150 days, after which Congress must approve continuation.
- Trump later announced on Truth Social that he would increase the tariffs to the maximum 15%, ensuring continued leverage over imports.
- The law is designed to address international payments issues and rebalance American trade.
Some experts suggest that Trump could attempt to renew the tariffs repeatedly, potentially bypassing congressional approval by declaring a new emergency.
Impact on US Businesses and Consumers
The Supreme Court ruling opened the door for businesses and consumers to seek refunds from the unlawful IEEPA tariffs, although no guidance has yet been issued.
- Treasury Secretary Scott Bessent indicated that litigation over refunds could take years, while larger companies are more likely to recover their payments.
- Trade groups such as the National Retail Federation are calling for a seamless refund process to allow companies to reinvest in operations, employees, and customers.
- US Senators, including Maria Cantwell, are pressing for fair and rapid reimbursement, whereas some Republicans argue that refunds could politically benefit the GOP ahead of the midterms.
Exemptions and Trade Partners
The new Section 122 tariffs will generally apply to imports from all countries, including the UK, India, and the EU, although key products will be exempt:
- Critical minerals, metals, pharmaceuticals, food crops, electronics, cars and trucks, and aerospace products
- Informational materials, donations, and accompanied baggage
- Goods under trade agreements like USMCA and DR-CAFTA
UK officials have said that their “privileged trading position with the US” remains largely intact, and most sectors, including steel, aluminium, and aerospace, are not impacted by the tariff hike.
Economic and Political Implications
Trump’s new global tariffs form a central part of his second-term economic agenda, aiming to reduce the US trade deficit, encourage domestic production, and bring manufacturing jobs back to the US.
- The US trade deficit recently reached approximately $1.2 trillion, a 2.1% increase from 2024.
- Business owners, like Drew Greenblatt of Marlin Steel, have expressed concern that the Supreme Court ruling hinders opportunities for American manufacturing growth.
- Farmers, such as John Boyd, see the ruling as a win for free trade, highlighting the mixed effects on different industries.
Global leaders have reacted cautiously:
- French President Emmanuel Macron emphasized reciprocity in trade rules rather than unilateral decisions.
- German Chancellor Friedrich Merz warned that constant tariff uncertainty acts as a “poison” to both US and European economies.
What’s Next for Trade Policy
Trump’s administration is expected to continue leveraging Section 122 for temporary global tariffs while exploring Section 301 investigations for specific trade disputes.
- Section 301 allows the US Trade Representative to investigate unfair trade practices and impose tariffs.
- Steel, aluminium, lumber, and automotive tariffs under Section 232 remain unaffected and will continue to generate revenue.
- Businesses should prepare for 15% tariffs on most imports, while navigating exemptions and potential refunds from previous IEEPA tariffs.
The announcement of Trump’s new global tariffs at 15% demonstrates the ongoing tension between executive power, congressional authority, and international trade obligations. While the Supreme Court limited the president’s ability to impose broad import taxes under IEEPA, Section 122 provides a path for temporary tariffs, maintaining uncertainty for businesses, consumers, and trading partners around the world.
This report is part of FFRNEWS business coverage. For ongoing updates on US trade and tariffs, visit our Business section and Finance section. External references include the BBC report on Trump’s new tariffs and related policy analysis.
