Trump Tariff: Citing Section 122 of the Trade Act of 1974, US President Donald Trump has raised recently implemented global tariffs to 15 percent, the Wall Street Journal reported. This move comes a day after the US Supreme Court struck down a large portion of his earlier tariff provisions.
US Supreme Court Ruling on Tariffs: ‘I am raising global tariffs by 10 percent…’
In a post on Truth Social, Trump said, “This increase comes after a thorough, detailed, and complete review of the ridiculous and extraordinarily anti-American tariff decision issued by the Supreme Court.”
Trump further wrote, “As President of the United States, I am, effective immediately, raising the 10 percent global tariff imposed on countries that have been plundering America with impunity for decades.”
Trump further stated, “Within the next few months, the administration will determine and issue new, legally valid tariffs that will continue our extraordinarily successful process of making America great again.”
Section 122 of the 1974 Act applies to the tariffs
According to a report in the Wall Street Journal, the 15 percent tariff is being imposed under Section 122 of the Trade Act of 1974. This provision allows the president to impose tariffs of up to 15 percent for up to 150 days, unless Congress approves an increase.
The Journal reported that Section 122 has never been used to impose tariffs before and should apply universally to all imports rather than targeting individual countries.
Supreme Court Rejects Administration’s Tariff Argument
Another Wall Street Journal report stated that the Supreme Court’s 6-3 decision rejected the administration’s argument that the International Emergency Economic Powers Act authorises the imposition of broad tariffs.
What will be the impact on India?
US President Trump’s latest move has increased trade uncertainty. Last year, the US imposed a 25% tariff on India, which was later increased to 50%, over oil imports from Russia. Washington claimed this supported the Ukraine war.
This tariff was reduced to 18% following an interim trade agreement between India and the US in February 2026. Following the Supreme Court’s decision, it was expected that the tariff would remain at around 3.5%.
If a 15% global tariff is now implemented, its impact on India would be approximately 18.5%, a slight increase from the recently agreed 18%.
Supreme Court’s decision on tariffs is extremely disappointing – Donald Trump
According to the Washington Post, Chief Justice John G. Roberts Jr., writing for the majority, stated that the president cannot impose tariffs on imports of any product from any country, at any rate, for any period of time under that law.
Trump then reacted sharply, writing on Truth Social, “The Supreme Court’s decision on tariffs is deeply disappointing. I am ashamed of some members of the Court for lacking the courage to do what is right for our country.” However, Trump also thanked Justices Thomas, Alito, and Kavanaugh for their “strength, wisdom, and love.”
Supreme Court Changes Tariff Rules
According to the New York Times, Trump initially set his replacement global rate at 10 percent, which was later raised to 15 percent, the maximum rate allowed under the law.
According to Washington Post, the Supreme Court’s decision invalidated tariffs that had generated more than $130 billion in import taxes. This raises questions about potential refunds and creates new uncertainty for companies and foreign governments. According to The Journal, items previously subject to national security tariffs include steel and automobiles, which will not be subject to the additional 15 percent duty.
New York Times notes that governments that previously made concessions under tariff pressure may now reevaluate their positions as Washington reassesses its legal basis.
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