President Trump’s announcement of a 15% universal tariff Saturday signaled more than just a workaround to a Supreme Court ruling — it reflected an ambition to fundamentally reshape the global trade order through executive action, using every available legal lever to impose the most sweeping American trade barriers in modern history.
The new tariff relies on Section 122 of the Trade Act of 1974, a provision allowing tariffs of up to 15% for 150 days without congressional approval. Trump declared it effective immediately on Truth Social, framing foreign nations as long-term exploiters of American economic goodwill and casting his administration as the first to truly hold them accountable. He vowed to use the 150-day window to develop permanent, legally durable trade barriers.
The Supreme Court ruled 6-3 on Friday that Trump’s IEEPA-based tariffs were unconstitutional without congressional authorization. Trump dismissed the ruling as “ridiculous” and “anti-American,” attacking majority justices with unusual personal ferocity. He called his own nominees Barrett and Gorsuch “an embarrassment to their families” and suggested they were barely welcome at next week’s State of the Union address.
European nations scrambled to respond. Germany’s Chancellor Merz warned that tariff unpredictability was “poison” for both European and American businesses and announced plans to present a coordinated EU position in Washington. France’s Macron praised the court’s role in constraining executive excess and called for trade policy built on mutual fairness. The UK, previously at a 10% rate, now faces an uncertain future at 15%.
Research shows that approximately 90% of the $130 billion in tariffs collected under the IEEPA framework was paid by American businesses and consumers. Business groups have called for refunds, but Trump indicated those will come only through a prolonged legal battle. Exemptions apply to critical minerals, metals, pharmaceuticals, and USMCA-compliant goods from Canada and Mexico.
Trump Raises Tariffs, Threatens to Reshape Global Trade Order from the White House
