Trump says he can use tariffs in a “more powerful and obnoxious way” after Supreme Court ruling
US President Donald Trump has threatened to deploy tariffs in what he called a “much more powerful and obnoxious way” after the US Supreme Court struck down his sweeping global tariffs imposed under an economic emergency law.
In a post on his Truth Social platform, Trump attacked the court’s majority, claiming the ruling had “accidentally and unwittingly” expanded his authority by leaving other tariff tools intact. He also argued he could use “licenses” to impose tougher trade pressure on foreign countries, while complaining the court barred him from charging fees linked to those licenses.
Trump tariff threat follows court rejection of IEEPA-based duties
The Supreme Court ruled on Friday that tariffs Trump imposed last year under the International Emergency Economic Powers Act (IEEPA) exceeded presidential authority, a decision that removed the legal basis for the broadest set of his new duties. Reuters reported that Trump responded by signalling he would pivot to other statutes and mechanisms that remain available to the administration.
The ruling has increased uncertainty for businesses and trading partners because it separates the court-blocked IEEPA tariffs from other US trade actions that can continue, including duties imposed on national security and unfair trade practice grounds.
New 15% global tariff announced under Trade Act powers
After the ruling, Trump moved to replace the scrapped IEEPA duties with a temporary global import surcharge of 15%, using Section 122 of the Trade Act of 1974, a provision that allows tariffs of up to 15% for a limited period.
The US Customs and Border Protection agency said it would stop collecting the IEEPA-linked tariffs from early Tuesday, after continuing to collect them over the weekend, and said further guidance to importers would follow. The tariff shift has raised questions over how refunds might be handled for duties collected under the now-invalid IEEPA orders.
EU pauses steps on trade deal as officials seek clarity
In Europe, the European Union has sought clarification on whether previously agreed trade terms will be honoured after Trump’s announcement of a new 15% tariff baseline. The Associated Press reported that the European Parliament’s trade committee signalled a pause in ratification steps amid what some lawmakers described as instability and unpredictability in US tariff policy.
EU officials have said they expect the United States to respect existing commitments, while warning that additional US duties beyond agreed terms would complicate implementation and could prompt consideration of responses under EU trade defence instruments.
Markets and companies watch for details and exemptions
Investors and companies are watching for practical details including coverage, exemptions, and how the new tariffs interact with sector-specific duties such as those on steel and aluminium.
With the new levy limited in duration under Section 122 unless extended with congressional backing, governments and businesses are bracing for further announcements as the administration tests alternative legal routes for trade action while challenges and negotiations continue.