Trump Announces 10 Percent Global Import Tariffs Following Supreme Court Ruling

JAKARTA - US President Donald Trump on Friday (20/2) local time announced a "global import tariff" of 10 percent after the US Supreme Court (SC) overturned the tariff previously imposed on almost all US trading partners.

Backing the lower court's ruling, the US Supreme Court ruled Trump overstepped his presidential authority when he used a 1970s emergency law to impose "reciprocal tariffs" and fentanyl-related tariffs on China, Canada and Mexico.

At a press conference, Trump expressed his anger and harshly criticized the Supreme Court judges whom he called "very unpatriotic and disloyal to the constitution". He even accused the judges of being influenced by "foreign interests".

"I am ashamed of some of the Supreme Court judges, very ashamed because they do not have the courage to do the right thing for our country," Trump said, calling the ruling "very disappointing".

The US Supreme Court previously tried the legality of Trump's decision to use the International Emergency Economic Powers Act (IEEPA) of 1977 to immediately impose import tariffs without the approval of the US Congress.

In fact, the party that is legally authorized to determine tax policies in the US is the legislative authority, namely Congress.

Since the Supreme Court hearing on the issue began in early November, a majority of the 9 Supreme Court judges, six of whom were appointed by the Republican president, have appeared skeptical of Trump's decision to preempt Congress in imposing tariffs of tens of percent on trading partners.

Chief Justice John Roberts, a conservative judge appointed by President George W. Bush, said Trump could not provide a legal justification for the extraordinary move.

"The president claims to have extraordinary power to unilaterally set tariffs with unlimited amounts, time, and coverage," Roberts said when reading the verdict.

"By balancing the scope, history, and constitutional context of the claimed authority, he must clearly obtain the approval of Congress to implement it," said the Chief Justice of the Supreme Court.

Import tariffs are one of the main pillars of President Trump's "America First" agenda. According to him, this step is able to revive the manufacturing sector, create jobs, reduce national debt, and increase tax revenue.

The move is also seen as giving the US more leverage when negotiating concessions to partner countries.

Early last year, the Trump administration imposed import tariffs on Chinese, Canadian, and Mexican products after accusing its three main trading partners of failing to prevent a "flood" of fentanyl products in the US.

Then in April, Trump announced "Liberation Day" tariffs that set a 10 percent base tariff on all countries as well as additional tariff values on dozens of countries that have trade deficits with the US.

According to the IEEPA, which serves as the legal basis for Trump's tariffs, emergency measures can be taken to "address unusual or extraordinary threats, wholly or partly originating outside the United States, to the national security, foreign relations, or economy".

But before Trump, no US President had ever used the law to impose tariffs.

The decision prompted hundreds of US and foreign companies to sue the Trump administration in court over the move under the IEEPA.

They also want to ensure that they receive a refund if the Constitutional Court cancels the decision.

However, in its ruling, the Supreme Court did not determine whether the Trump administration should return the revenue it had obtained from the tariffs imposed.

Trump also said he would not return tariff revenues that have reached hundreds of billions of US dollars, while conveying that this issue would continue to be fought in court.

He said foreign countries are now "very happy and dancing in the streets". However, he ensured that they "will not dance for long".

The US president stressed that his party has "a very strong alternative" to impose tariffs again which by the Supreme Court "was wrongly rejected".

While expressing his determination to promote his trade agenda in other ways, Trump announced new tariffs of 10 percent on imports from all countries, in addition to the previously applicable duties.

The additional tariffs will be based on the 1974 Trade Act, which allows it to impose tariffs for up to 150 days if there is a severe trade deficit that must be addressed.

Meanwhile, Trump previously threatened to impose a 25 percent tariff on Japan, but the figure was reduced to 15 percent after negotiations, with Japan promising massive investment in the US.

Following Japan's promise to buy more US products, the bilateral trade agreement also stipulates that Japanese car products are subject to a 15 percent tariff, down from the 27.5 percent previously imposed in April.

The lawsuit over "global tariffs" filed by small businesses and dozens of US states is unrelated to Trump administration sectoral tariffs.

The sectoral tariffs set by Trump since he returned to office as US President in January 2025 on the pretext of national security, including tariffs on imports of cars and steel, have a legal basis in the Trade Expansion Act of 1962.

However, the law instructs an initial investigation before tariffs can be set.

Source: Kyodo