In a rapid escalation of his trade agenda, President Donald Trump increased the newly announced global tariff from 10% to 15%, just a day after introducing the lower rate. The move comes immediately after the US Supreme Court ruled that his earlier use of emergency powers to impose broad reciprocal tariffs was unlawful.
The decision adds a fresh layer of uncertainty to global trade, corporate planning, and the political debate in Washington.
What happened
On Friday, following the court’s ruling, Trump announced a flat 10% global tariff on foreign goods. By Saturday, he declared that 10% was not enough and raised the rate to 15%, describing it as fully allowed and legally tested.
Key points:
• The 10% tariff had been scheduled to take effect on February 24 at 12:01 a.m. Washington time
• The revised 15% rate was announced via social media
• Additional operational details were not immediately released
The shift signals that the administration is determined to preserve a baseline global tariff structure despite legal setbacks.
The Supreme Court ruling
The Supreme Court ruled 6 to 3 that Trump acted unlawfully in using the International Emergency Economic Powers Act to justify sweeping reciprocal tariffs that ranged from 10% to 50% on dozens of trading partners.
The court concluded:
• The president’s use of emergency authority did not meet constitutional standards
• Congress cannot be bypassed through broad interpretations of emergency powers
The ruling does not settle whether businesses that paid tariffs under the earlier framework are entitled to refunds. That question now moves to lower courts.
More than 1,500 companies had filed tariff related lawsuits in anticipation of the decision. Potential refund exposure has been estimated at up to 170 billion dollars, though final outcomes depend on future rulings.
The new legal route
Instead of relying on emergency powers, Trump is now invoking Section 122 of the 1974 Trade Act.
Under Section 122:
• The president can impose tariffs for up to 150 days without congressional approval
• Any extension beyond that period requires Congress to step in
• The authority is more limited than the emergency powers previously claimed
This means the 15% global tariff has a defined legal window unless lawmakers approve its continuation.
What else is in motion
The administration is also accelerating new investigations under Section 301 of the Trade Act.
These probes are expected to examine:
• Industrial excess capacity
• Forced labor concerns
• Pharmaceutical pricing practices
• Digital services taxes
• Alleged discrimination against US technology firms
• Trade practices involving seafood, rice, and other goods
Section 301 cases require country specific investigations and formal findings before tariffs can be imposed. Over time, these actions could reshape the current blanket tariff into a more targeted structure.
Political backdrop
The tariff escalation comes just days before Trump’s State of the Union address to Congress in Washington. Lawmakers from both parties have expressed concerns about aspects of his trade strategy, particularly around costs and legal risk.
At the same time:
• The administration continues to argue that tariffs are essential for economic and national security leverage
• Critics warn that trade volatility may feed into price pressures and business uncertainty
The Supreme Court ruling ensures that Congress will now play a more central role in the trajectory of US trade policy.
Where this leaves us
The immediate takeaway is clear. The administration is not retreating from tariffs. It is shifting legal tools to keep them in place.
For businesses, investors, and trading partners, several questions remain open:
• Will Congress support extending the 15% tariff beyond the 150 day window
• How will courts handle refund claims tied to earlier duties
• Will Section 301 investigations lead to a more focused and durable tariff framework
This is no longer just a trade policy story. It is a constitutional and political one. The coming weeks will show whether this 15% baseline becomes a temporary bridge or the foundation of the next phase in US trade strategy.