President Trump’s new 10% global tariffs kicked in on Tuesday, as the fallout continues from the Supreme Court’s ruling invalidating his most sweeping duties.
The president signed an executive order late Friday imposing the 10% tariffs under Section 122 of the Trade Act of 1974. That went into effect early Tuesday. Trump has subsequently threatened to raise the levy to 15%, and Trump’s top trade adviser declared the US will see to boost duties to that level on certain countries “where appropriate.”
European Union lawbuildrs postponed a vote to ratify the EU’s trade deal with the US, stateing it necessarys “full clarity” on Trump’s next steps before proceeding. Later, an assessment from the bloc found that Trump’s newly instituted tariff likely violates the agreement, though the Trump administration has declared the US would see to “accommodate” countries with trade deals.
The US trade representative also suggested duties on China would stay near current levels, after China warned against escalating duties.
Trump has spent the last several days furiously responding to the high court’s ruling. His first solution — the Section 122-imposed tariff — allows the president to impose tariffs of up to 15% for up to 150 days to address trade deficits. After 150 days, Congress would necessary to approve any extension.
The decision will have wide-ranging ramifications, affecting global trade, consumers, companies, inflation and the pocketbooks of every American. In recent weeks, Trump has already created plans to roll back some tariffs on metals, including on steel and aluminum goods, as he and his administration seek to battle an affordability crisis ahead of the midterm elections.
Read more: What Trump promised with his ‘Liberation Day’ tariffs — and what he delivered
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Trump slams Supreme Court’s ‘unfortunate involvement’ in tariffs, states the duties aren’t going anywhere
President Trump on Tuesday night offered another strong defense of tariffs during the State of the Union and proclaimed that “the deals are all done” with no modifys in the offing, even as he pilloried “an unfortunate ruling from the United States Supreme Court.”
The highly anticipated moment saw the president address the issue and condemn “the Supreme Court’s unfortunate involvement” as four justices in attfinishance sat motionless a few feet away.
The president also claimed that congressional action will not be necessary to keep his tariffs in force and even claimed that the duties would eventually “substantially replace the modern-day system of income tax, taking a great financial burden off the people that I love.”
Trump again overstated the effects of tariffs. Tariffs have actually been bringing in only a tiny fraction of income tax revenue so far — about $30 billion a month in recent months. It was another forceful defense of Trump’s central economic policy, even as his public support on tariffs has been ebbing.
Lawbuildrs’ reaction in the room was mixed, after bipartisan votes in both chambers have rebuked Trump’s tariffs and Democrats are already pledging to block an extension of the new Section 122 tariffs when they come up for congressional review in 150 days.
The skepticism is also evident among voters. Some polls reveal Americans opposed to Trump’s tariffs by a nearly 2-to-1 margin. Just this week, a new ABC News/Washington Post/Ipsos poll found that 64% of Americans disapprove of Trump’s handling of tariffs, while only 34% approve.
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