President Donald Trump announced on Saturday that he will increase a temporary tariff on U.S. imports from all countries from 10% to 15%, following a U.S. Supreme Court decision that invalidated his previous tariff program. This adjustment represents the maximum level permitted under the law.
The decision came less than a day after Trump had initially declared a 10% across-the-board tariff in response to the court’s ruling. The Supreme Court found that the president had overstepped his authority by imposing a series of higher rates under an economic emergency law.
The new tariffs are based on a different, albeit untested, law known as Section 122. This provision allows tariffs up to 15% but requires congressional approval for any extension beyond 150 days. No president has previously invoked Section 122, and its application might prompt additional legal challenges.
Trade experts and congressional aides express skepticism that the Republican-majority Congress would extend the tariffs, citing polls that suggest increasing numbers of Americans blame these levies for rising prices.
In a social media post on Saturday, Trump stated that he intends to use the 150-day period to explore other “legally permissible” tariffs. The administration plans to leverage two other statutes that enable import taxes on specific products or countries based on investigations into national security or unfair trade practices.
“I, as President of the United States of America, will be, effective immediately, raising the 10% Worldwide Tariff on Countries, many of which have been ‘ripping’ the U.S. off for decades, without retribution (until I came along!), to the fully allowed, and legally tested, 15% level,” Trump wrote in a Truth Social post.
According to the White House, the Section 122 tariffs will exempt certain products, including critical minerals, metals, and energy products.
Wendy Cutler, a former senior U.S. trade official and senior vice president at the Asia Society think tank, expressed surprise that Trump had not initially opted for the maximum Section 122 rate on Friday. She noted that his rapid adjustment highlights the uncertainty faced by trading partners.
The Supreme Court’s decision, authored by Chief Justice John Roberts, concluded that the law Trump had employed for most of his tariffs, the International Emergency Economic Powers Act, did not grant the president the powers he claimed. Roberts was joined in the majority by fellow conservatives Neil Gorsuch and Amy Coney Barrett, both Trump appointees, as well as the court’s three liberal justices.
Trump reacted angrily to the ruling, labeling the justices in the majority as “fools” and describing Gorsuch and Barrett as “embarrassments,” while vowing to continue his global trade efforts.
Some foreign leaders welcomed the decision. French President Emmanuel Macron stated on Saturday that the ruling demonstrated the importance of checks and balances in democracies and the rule of law. German Chancellor Friedrich Merz expressed that he anticipated the decision would alleviate the burden on German companies, adding that he would use an upcoming U.S. trip to emphasize that “tariffs harm everyone.”
Trump has utilized tariffs, or the threat of them, to secure trade deals with foreign countries. Following the court’s decision, Trump’s trade representative, Jamieson Greer, told Fox News on Friday that those countries must uphold agreements even if they involve higher rates than the Section 122 tariffs. Exports to the U.S. from countries such as Malaysia and Cambodia will continue to be taxed at their negotiated rates of 19%, despite the lower universal rate, Greer said.
Indonesia’s chief negotiator for U.S. tariffs, Airlangga Hartarto, confirmed that the trade deal between the two countries, which set U.S. tariffs at 19% and was signed on Friday, remains in effect despite the court’s ruling.
The ruling could benefit countries like Brazil, which has not negotiated a deal with Washington to lower its 40% tariff rate but might now see its rate reduced to 15%, at least temporarily.
With the midterm elections approaching in November, Trump’s approval rating on his economic management has steadily declined during his year in office. According to a Reuters/Ipsos poll that concluded on Monday, 34% of respondents approve of his economic handling, while 57% disapprove.
Affordability remains a primary concern for voters. Democrats, who need to secure only three Republican-held seats in the U.S. House of Representatives in November to gain a majority, have attributed the rising cost of living to Trump’s tariffs.
