President defies high court setback, escalates trade policy as global leaders react and markets brace for fresh uncertainty…
U.S. President Donald Trump on Saturday announced a sweeping increase in global import duties to 15 percent, escalating his aggressive trade policy just one day after the Supreme Court of the United States struck down key elements of his tariff authority.
In a post on his Truth Social platform, Trump said his administration had conducted a “thorough review” of what he described as an “extraordinarily anti-American decision” by the court. He declared that the new 15 percent rate represents the “fully allowed, and legally tested” level under existing law.
The move comes after the court ruled 6–3 that Trump lacked the authority to impose broad tariffs under a 1977 economic emergency powers statute, a decision widely viewed as a sharp rebuke of one of his signature economic strategies.
Within hours of the ruling, Trump initially unveiled a 10 percent global levy under a separate legal mechanism. Saturday’s escalation to 15 percent signals a determination to preserve the backbone of his trade agenda despite judicial resistance.
In an unusually personal response, Trump and several Republican allies lashed out at conservative justices who sided with the majority, accusing them of “disloyalty” and branding them “fools and lap dogs.” The president, however, praised the three conservative justices who dissented — Clarence Thomas, Samuel Alito and Brett Kavanaugh, thanking them for what he called their “strength and wisdom, and love of our country.”
The ruling represents Trump’s most significant Supreme Court setback since returning to the White House 13 months ago. While the high court has often ruled in his favor, Friday’s decision undercut the legal foundation of a tariff regime that has disrupted global supply chains and rattled the international trade system.
Global reactions and diplomatic strain
Trump’s latest announcement is expected to inject fresh volatility into global markets and diplomatic relations. Over the past year, tariff levels imposed on various countries have frequently shifted, introduced, revised or withdrawn adding to uncertainty for businesses and governments alike.
Brazil’s President Luiz Inacio Lula da Silva called for fairness in international trade relations, urging Washington to avoid escalating tensions.
“I want to tell the U.S. President Donald Trump that we don’t want a new Cold War. We don’t want interference in any other country, we want all countries to be treated equally,” Lula told reporters in New Delhi.
In Europe, German Chancellor Friedrich Merz said he would coordinate with European allies to craft “a very clear European position” before traveling to Washington in early March.
Under U.S. law, the newly imposed 15 percent tariff can remain in place for up to 150 days. According to a White House fact sheet, exemptions continue for sectors subject to separate investigations including pharmaceuticals as well as goods traded under the United States-Mexico-Canada Agreement. However, even countries that previously negotiated individual tariff arrangements with Washington will now be subject to the new global baseline.
Domestic fallout and market reaction
At home, the ruling triggered political backlash. Pennsylvania Governor Josh Shapiro said on X that Trump should “listen to the Supreme Court, end chaotic tariffs, and stop wreaking havoc on our farmers, small business owners, and families.”
Business groups largely welcomed the court’s intervention. The National Retail Federation said the decision provided “much-needed certainty” for companies grappling with fluctuating trade policies.
Despite the political shockwaves, Wall Street reacted calmly. Shares edged modestly higher Friday following the ruling, which many investors had anticipated.
Notably, the Supreme Court’s decision does not affect sector-specific tariffs already imposed on steel, aluminum and other goods. Ongoing government investigations could still pave the way for additional targeted duties.
During court proceedings, the Trump administration had argued that businesses would receive refunds if the tariffs were ultimately deemed unlawful. However, the court’s ruling did not resolve that question. Trump predicted prolonged legal battles over potential reimbursements, while Justice Kavanaugh acknowledged the refund process could become “a mess.”
As the legal and political fight intensifies, Trump appears determined to press ahead signaling that the battle over America’s trade direction is far from over.
