US Supreme Court struck down Trump's new tariffs

¨     On February 20, the US Supreme Court struck down Trump's new tariffs (Trump Tariff). Following this, Trump signed a 10% global tariff order on top of existing import duties.

¨     This order is valid for approximately five months, indicating a strengthening of his trade policy despite the setback from the United States Supreme Court.

¨     A new date for when this new tariff will come into effect has also been revealed. Following the Supreme Court's decision, all the tariffs Trump had imposed on various countries around the world have been repealed.

¨     The same tariffs that were in place before Trump's arrival will remain in effect. India previously faced a 3 to 4% tariff.

Why did Trump announce a 10% global tariff after the Supreme Court's decision?

¨     The Supreme Court, by a 6-3 majority, ruled that the President lacks the authority to impose broad global tariffs under the IEEPA.

¨     The decision was delivered on February 20, 2026.

¨     Following criticism of the decision, Trump invoked Section 122 of the Trade Act of 1974.

¨     Under this provision, the President can impose temporary tariffs of up to 15% for 150 days if there is a balance of payments or trade deficit problem.

¨     Using this law, Trump announced a non-discriminatory 10% tariff on all imports.

¨     An extension beyond 150 days would require congressional approval.