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US tariffs

US President Donald Trump has announced plans to impose a 15% tariff on all goods entering the United States, days after the Supreme Court of the United States struck down his previous global tariff policy.

The new tariff, announced on Saturday via Truth Social, will come into effect on Tuesday, 24 February. According to the president, the levy will be introduced under a rarely used trade statute and can remain in place for approximately five months before the administration must seek approval from Congress.

Court Ruling on Tariff Authority

In a 6–3 decision, the Supreme Court ruled that the president exceeded his authority when imposing sweeping global tariffs last year under the International Emergency Economic Powers Act. The 1977 law grants the president powers to regulate commerce during national emergencies, but the court found that its application in this case went beyond the statute’s intended scope.

The majority opinion was joined by the court’s three liberal justices, Chief Justice John Roberts, and two conservative justices nominated by Trump  Amy Coney Barrett and Neil Gorsuch.

Three conservative justices  Clarence Thomas, Brett Kavanaugh, and Samuel Alito  dissented.

Following the ruling, Trump criticised the decision, describing it as “ridiculous” and accusing certain members of the court of undermining American economic interests.

Shift from 10% to 15%

Initially, Trump had stated that he would replace the scrapped tariffs with a 10% levy on all imports. However, he later revised that position, announcing that the administration would raise the rate to 15%  described as the maximum permitted under the alternative trade authority being invoked.

The administration has not yet detailed the specific statute being used to justify the new tariff framework, but officials indicated that it differs from the 1977 emergency powers law cited in the Supreme Court case.

Impact on Trading Partners

The move raises questions for countries such as the United Kingdom and Australia, which had previously negotiated tariff arrangements with the US at a 10% rate. The increase to 15% may require further diplomatic discussions and potential adjustments to trade agreements.

Economists note that a universal tariff of this scale could affect supply chains, import costs, and consumer prices. Businesses reliant on imported raw materials and finished goods may face higher input costs, which could be passed on to consumers.

At the same time, supporters of the policy argue that higher tariffs could encourage domestic production by making foreign goods less competitive in the US market. Trump has consistently maintained that tariffs form a central component of his economic strategy to boost domestic manufacturing and reduce trade imbalances.

Political and Economic Context

Tariffs have been a key element of Trump’s trade policy platform. During his previous term, the administration implemented a series of import duties targeting multiple countries, citing concerns over trade deficits and industrial competitiveness.

The latest announcement comes amid broader debates in Washington over executive authority in trade policy. While Congress holds constitutional authority over trade, presidents have historically exercised broad delegated powers through various statutes.

The temporary nature of the new tariff  limited to roughly five months unless Congress approves an extension  introduces uncertainty for global markets. Analysts say that legislative debate in Congress will likely shape the longer-term direction of US trade policy.

As of now, there has been no formal congressional statement confirming support or opposition to the proposed 15% levy.

The administration is expected to release further details on implementation and enforcement mechanisms before the tariff takes effect on 24 February.

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