- Trump said that the new baseline 10% tariff rate would go into effect in the next three days.
- He added that at least three statutes, including Section 122 of the Trade Act of 1974, and The Trade Expansion Act 1962, would permit him to charge higher tariffs.
- Earlier on Friday, the U.S. Supreme Court ruled against Trump’s tariffs in a 6-3 decision, saying that the president exceeded his authority to use the emergency-powers law.
U.S. President Donald Trump said on Friday that he would levy a 10% tariff globally after the U.S. Supreme Court struck down his previous import duties.
In a press briefing at The White House, the president called the ruling “deeply disappointing,” adding that he was “ashamed of certain members of the court” for not having the courage to do what’s right for the United States.
Earlier on Friday, the U.S. Supreme Court ruled against Trump’s tariffs in a 6-3 decision, saying that the president exceeded his authority to use the emergency-powers law.
Trump said that the new baseline 10% tariff rate would go into effect in the next three days.
The Statutes
“In order to protect our country, a president can actually charge more tariffs than I was charging in the past,” Trump said.
He added that at least three statutes, including Section 122 of the Trade Act of 1974, and The Trade Expansion Act 1962, would permit him to charge higher tariffs.
The president said his tariff program is aimed not only at bringing manufacturing back to the country, but also at serving as a tool of foreign policy. He argued that the threat of tariffs has helped pressure other nations to ease armed conflicts and said negotiations over levies have drawn billions of dollars in planned foreign investment into the country.
In his opening remarks, Trump said that this was an important case for him as a “symbol of economic national security.” He also added that after the ruling, foreign countries “that have been ripping us off for years are ecstatic,” but warned that the celebration would not go on for too long.
In response to the court’s lack of clarity on how to refund the tariffs collected, Trump said, “We’ll end up being in court for the next five years.”
The president also thanked Justice Clarence Thomas, Justice Samuel Alito, and Justice Brett Kavanaugh, who dissented in the vote, adding that there was no way to argue against their case.
Market Reaction
U.S. equities responded positively to the Supreme Court’s decision to strike down global tariffs, edging higher after the ruling.
At the time of writing, the SPDR S&P 500 ETF (SPY), which tracks the S&P 500 index, was up by 0.58%, the Invesco QQQ Trust ETF (QQQ) climbed 0.74%, while the SPDR Dow Jones Industrial Average ETF Trust (DIA) was 0.33% higher.
Retail sentiment around the S&P 500 ETF on Stocktwits was in the ‘bearish’ territory.
The iShares 7-10 Year Treasury Bond ETF (IEF) was down 0.05% at the time of writing, while the iShares 20+ Year Treasury Bond ETF (TLT) was down by 0.27%.
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