Trump announces he is hiking global tariffs to 15% as he comes out swinging against Supreme Court loss
President Donald Trump has hiked worldwide tariffs to 15 percent after the Supreme Court ruled his reciprocal tax plan was unconstitutional.
Infuriated by the high court’s ruling, Trump on Friday ordered an immediate 10 percent tariff on all imports, in addition to any existing tariffs, citing a different law as the basis.
The new tariff is being applied under Section 122 of the 1974 Trade Act, which allows the president to increase levies up to a maximum of 15 percent.
It has never been imposed before, making it a historic moment for the Trump Administration. The law allows him to impose the levy for 150 days, although it could face legal challenges.
On Saturday, Trump revealed his plan to bump the tariffs to their upper limit in a stinging post on Truth Social, where he hit out at the Supreme Court justices and their ‘Anti-American’ ruling.
It came after he gave a press conference on Friday in which he claimed he was conservative with his tariffs and wanted to respect the courts.
‘I was very modest in my ask of other countries and businesses, because I wanted to be very well-behaved,’ he said. ‘I understand how they are very easily swayed. I want to be a good boy.’
However the president has since made it clear he is going to war with Conservative Chief Justice John Roberts, who branded ‘unpatriotic’ and a ‘disloyal’ member of the Court, following the ruling.
President Donald Trump has hiked worldwide tariffs to 15 percent after the Supreme Court ruled his ‘beautiful’ plan was unconstitutional
The president has made it clear he’s going to war with Conservative Chief Justice John Roberts, who he said was ‘unpatriotic’ and is a ‘disloyal’ member of the Court for voting against his policy
Although he is not undermining the Court’s decision, he suggested the conservative justices owed him some loyalty. The job of a Supreme Court justice is to uphold the Constitution, not party values.
He took particular issue with Justices Amy Coney Barrett and Neil Gorsuch, both of whom he appointed.
The Supreme Court ruled that Trump issuing tariffs without the permission of Congress was unconstitutional.
It said President Trump had exceeded his authority by imposing his ‘Liberation Day’ tariffs last year without Congressional approval.
Trump said he was ‘ashamed’ of the ruling, adding that America’s highest court had been ‘swayed by foreign interests’.
He then vowed to find another route to maintain tariffs, which he announced on Saturday.
Speaking at an emergency press conference at the White House last night, Trump said the judges who threw out his plan were ‘a disgrace to our country’.
He said that ‘foreign countries that have been ripping us off for years are ecstatic’ at the Court’s ruling.
Infuriated by the high court’s ruling, Trump on Friday ordered an immediate 10 percent tariff on all imports, in addition to any existing tariffs
In a blunt warning, he added: ‘They are dancing in the streets – but they won’t be dancing for long.’
Section 122 is meant to be used for short-term emergencies, not for the length of presidential terms or for economic policy.
Trump said in his post on Saturday his administration would ‘determine and issue the new and legally permissible tariffs’ in the coming months.
Section 122 limits how high Trump can raise the tariffs, as well as how long he can.
The policy was issued under President Richard Nixon, Axios reported.
Congress approved it as a way to avoid ‘depreciation of the dollar in foreign exchange markets’ and to correct ‘an international balance-of-payments disequilibrium,’ which was Nixon’s goal.
There are a few other Sections Trump could use to continue to carry out his tariff plan.
Section 301, which Trump used in his first term, allows the president to issue tariffs against ‘discriminatory’ foreign trade practices and opens up an investigation by US Trade Representatives.
Traders on the stock floor on Friday while the Supreme Court ruled on tariffs
Trump used this law to impose tariffs on Chinese imports in his first term.
The president has also used Section 232 of the US Trade Expansion Act of 1962, which allows him to restrict imports that could threaten national security.
He used the policy for steel and aluminum.
Section 338 of the Tariff Act of 1930 also allows him to use tariffs against countries that discriminate ‘against the commerce of the United States,’ according to Axios.
