[Photo Credit: By Gage Skidmore from Surprise, AZ, United States of America - Donald Trump, CC BY-SA 2.0, https://commons.wikimedia.org/w/index.php?curid=151886925]

Trump Administration Reimposes 10 Percent Global Tariff After Supreme Court Setback

The Trump administration on Tuesday moved swiftly to reassert its trade agenda, imposing a 10 percent tariff on all goods not covered by current exemptions. The action effectively restores the global rate first announced by President Donald Trump after the Supreme Court dealt a significant blow to the bulk of his emergency import taxes.

U.S. Customs and Border Protection released a notice Monday night confirming that imports will “be subject to an additional ad valorem rate of 10%.” The announcement came despite Trump signaling over the weekend that the rate would rise to 15 percent. The reason for the adjustment back to 10 percent remains unclear.

The notice cites Section 122 of the Trade Act of 1974 as the legal authority for the move. That provision allows a president to impose tariffs to address “large and serious United States balance-of-payment deficits,” as U.S. Trade Representative Jamieson Greer said Friday. Under Section 122, tariffs can last up to 150 days and are capped at 15 percent of a product’s estimated value. Any extension beyond that period would require congressional approval.

The decision follows Friday’s 6-3 Supreme Court ruling striking down Trump’s sweeping tariffs imposed under the 1977 International Emergency Economic Powers Act. That law permits a president to “regulate” imports in response to national emergencies posing an “unusual and extraordinary” threat. The high court determined that Trump’s tariffs did not meet that threshold.

Trump forcefully criticized the majority opinion and made clear he would not retreat from his broader trade goals. In a Truth Social post early Saturday, he announced that the global tariff rate would “immediately” be increased “to the fully allowed, and legally tested, 15% level.”

The president singled out Justices Brett Kavanaugh, Samuel Alito and Clarence Thomas for praise, saying Kavanaugh made him “proud.” He also sharply criticized Justices Neil Gorsuch and Amy Coney Barrett, his first and third Supreme Court appointees, calling their votes against his tariffs “an embarrassment to their families.”

While the high court’s ruling did not address potential tariff refunds, it set the stage for continued legal battles in lower courts. According to an analysis by Penn Wharton Budget Model economists first reported by Reuters, more than $175 billion could be at risk of being refunded.

The decision has also ignited debate among Republican lawmakers over how to respond. Some of Trump’s allies are already pushing to use the budget reconciliation process to raise tariff rates through legislation, which would allow passage by a simple majority vote in the Senate. Sen. Bernie Moreno of Ohio is leading that effort.

At the same time, other Republicans praised the court’s ruling. Kentucky Sens. Rand Paul and Mitch McConnell welcomed the decision, underscoring divisions within the GOP over trade policy.

Sen. Ted Budd of North Carolina told The Hill that while he dislikes tariffs, he believes there are broader issues that must be addressed. “There’s a lot of things we should [do] through reconciliation,” Budd said.

As the administration recalibrates its legal strategy and Congress weighs its next move, Trump’s commitment to reshaping U.S. trade policy remains front and center — setting up a high-stakes battle over tariffs, executive authority and the direction of the American economy.

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