President Donald Trump announced Saturday that he will increase a recently imposed global tariff rate from 10% to 15%, marking the second consecutive day of tariff-related action by his administration. The announcement came via Truth Social and follows a legal setback at the hands of the Supreme Court of the United States.
Court Limits Presidential Tariff Authority
In a 6–3 decision, the Court ruled that Trump exceeded his authority in implementing sweeping tariffs under the 1977 International Emergency Economic Powers Act.
Writing for the majority, Chief Justice John Roberts stated that the law does not clearly authorize tariffs of such breadth and duration, emphasizing that major economic actions require explicit approval from Congress.
The ruling effectively struck down the administration’s broader tariff framework, prompting immediate reaction from the president.
Trump responded by announcing the increase to a 15% global tariff rate:
“Based on a thorough, detailed, and complete review of the ridiculous, poorly written, and extraordinarily anti-American decision on Tariffs issued yesterday, after MANY months of contemplation, by the United States Supreme Court, please let this statement serve to represent that 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.
He added that his administration will also determine new and legacy permissible tariffs in light of the ruling.
Potential Financial Implications
An analysis by the University of Pennsylvania estimated that importers could seek refunds totaling as much as $175 billion if previously collected duties are required to be returned.
In dissent, Justice Brett Kavanaugh warned that the process of reimbursing importers could prove complex. He was joined by Justices Samuel Alito and Clarence Thomas.
The majority included Roberts along with Justices Amy Coney Barrett, Neil Gorsuch, Ketanji Brown Jackson, Elena Kagan, Sonia Sotomayor.
European Union Signals Possible Response
The tariff escalation has drawn international attention. France’s trade minister, Nicolas Forissier, told the Financial Times that the European Union is preparing potential countermeasures if the United States proceeds with expanded tariffs.
“Should it become necessary, the EU has the appropriate instruments at its disposal,” Forissier said.
French officials indicated that one option under consideration is the bloc’s anti-coercion instrument, which could target U.S. exports, services, or companies.
Outlook
