President Donald Trump threatened a 15% tariff on all US imports, just one day after unveiling a 10% global tax. The move follows the Supreme Court striking down his previous emergency tariffs, signaling aggressive trade action to protect US economic interests.
Trump Threatens 15% Tariff Amid Supreme Court Ruling
The Trump 15% tariff threat leverages Section 122 of the Trade Act of 1974, which allows temporary duties to address balance-of-payments issues. Initially set at 10%, the tariff exempted energy, critical minerals, fertilizers, and USMCA-covered imports.
Trump justified the 15% increase by citing a “complete review” of the Supreme Court decision, claiming the higher rate maximizes legal authority. However, courts have not previously tested Section 122, leaving uncertainty about potential legal challenges.
Meanwhile, the administration plans to use the 150-day Section 122 window to implement targeted tariffs on specific industries and countries. Prior emergency tariffs were rescinded after the court found they exceeded presidential powers.
Legal and Market Uncertainty Ahead
Trump’s decision bypasses Congress, drawing criticism from both conservative and liberal lawmakers. Supreme Court Chief Justice John Roberts and justices Neil Gorsuch and Amy Coney Barrett highlighted the “major questions” doctrine, emphasizing that Congress should decide significant economic matters.
Section 122 tariffs may face court challenges, and the legal process could affect metals, energy, and agricultural imports. Businesses and global trade partners now face heightened uncertainty regarding US import duties and pricing impacts.
SuperMetalPrice Commentary:
The Trump 15% tariff threat increases volatility across global commodity and metals markets. Energy, metals, and battery material sectors should monitor legal developments closely. Companies may need to adjust supply chains, hedge against cost increases, and prepare for potential litigation over Section 122 tariffs.
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