President Trump has unveiled a new blanket tariff on imports from around the world, escalating his trade offensive immediately after the US Supreme Court struck down much of his tariff policy.
The move followed a sharp rebuke from the Court, which ruled by six votes to three that the President’s so-called “Liberty Day” tariffs were unlawful. The justices found that Mr Trump had exceeded his authority under the International Emergency Economic Powers Act (IEEPA). In response, he criticised the ruling as unjust and damaging to American interests, directing particular anger at members of the bench, including some he had nominated himself.
On Friday, Mr Trump invoked Section 122 of the Trade Act 1974, introducing a 10 percent global import surcharge. Within 24 hours, he announced the rate had increased to the maximum 15 percent permitted under the provision, but only 10 percent too effect on 24 February 2026.
Section 122 allows a president to impose temporary import duties of up to 15 percent for 150 days in cases of serious balance-of-payments difficulties. Any extension beyond that period would require Congressional approval — a potentially difficult hurdle after the House of Representatives recently voted 219–211 against separate tariffs on Canadian goods.
The Court’s decision does not affect all existing trade measures. Duties on steel, aluminium and certain automotive imports, introduced under different statutory powers, remain in place.
The question of refunds – estimated at between $130 billion and $175 billion – was left unresolved. With no automatic repayment system established, more than 1,000 importers have initiated legal proceedings, signalling the likelihood of prolonged disputes.
The UK’s situation seems to be unchanged. A UK government spokesperson stated that they expect the UK’s 10% trade deal to continue, while US Trade Representative Jamieson Greer said that the US will continue to honour tariff agreements it has already finalised with a number of countries around the world, including the UK.
