Trump plans to replace tariffs, salvage trade deals after ruling

Trump plans to replace tariffs, salvage trade deals after ruling

President Donald Trump switched to his backup tariff plan after the U.S. Supreme Court said he couldn’t use a 1977 law to impose sweeping tariffs.

Trump announced a fresh round of tariffs hours after the high court invalidated his use of the 1977 International Emergency Economic Powers Act to impose tariffs worldwide. Recent economic research found that Americans paid more than 90% of those import duties.

Trump said he would use other laws to keep the existing tariffs in place and that he would add a 10% global tariff.

“Today I will sign an Order to impose a 10% GLOBAL TARIFF, under Section 122, over and above our normal TARIFFS already being charged,” Trump wrote in a social media post after the ruling.

Trump said that the other tariff laws he plans to use were mentioned in the Supreme Court decision.

“It’s a little more complicated, the process takes a little more time, but the end result is going to get us more money,” Trump said.

The Supreme Court, divided 6-3, held that the 1977 law didn’t give Trump expansive tariff powers to tax goods entering the country. Justices Clarence Thomas, Brett Kavanaugh and Samuel Alito dissented.

The president criticized the decision, but said the ruling won’t stop his tariff plans.

Phillip Magness, senior fellow at the Independent Institute, said Section 301 of the Trade Act of 1974 would be the safest path forward, but the law comes with limits and restrictions.

“Section 301 has much stricter requirements that Trump must now follow to impose tariffs,” he told The Center Square.

Trump said Friday he plans to launch multiple trade investigations under Section 301.

Magness said Trump has other options as well. Another path would be Section 338 of the Smoot-Hawley Act of 1930. Treasury Secretary Scott Bessent and Jamieson Greer have hinted at this option in recent months. However, Section 338 could also face legal challenges.

“The Supreme Court majority apparently did not find this line of argument to be convincing, as only the three dissenters mentioned Section 338,” Magness said. “This suggests that Trump would likely be overturned again in a future decision, setting into a pattern reminiscent of the Biden Administration’s legal jockeying to reinstate student loan forgiveness after the Supreme Court overruled them.”

Magness said Friday’s ruling gives Congress an opening.

“The ball is certainly in Congress’s court now,” he said.

Until earlier this month, the Republican-controlled House had given Trump wide leeway on tariffs. However, House Speaker Mike Johnson failed to extend a rule that had prevented Congress from taking up tariff matters when three members of his party joined Democrats to block the rule.

Rep. Jodey Arrington, chairman of the House Budget Committee, said Congress needs to step up to support the president.

“Congress should immediately codify the President’s reciprocal trade agreements, which would make these deals more durable, entorceable, and effective in the long run,” he said in a statement. “If this can’t be done in a bipartisan fashion, Republicans should use reconciliation – the most potent legislative tool in our toolbox-to safeguard our economic and national security interests.”

Leave a Comment





Latest News Stories

Illinois Quick Hits: Statewide bag tax proposed

Illinois Quick Hits: Statewide bag tax proposed

By Jim Talamonti | The Center SquareThe Center Square (The Center Square) – State Rep. Laura Faver Dias, D-Grayslake, has proposed legislation to impose a 10-cent fee on carryout bags...
Pacific Palisades continues to rebuild one year after fire

Pacific Palisades continues to rebuild one year after fire

By Chris WoodwardThe Center Square When disasters happen, things take time to recover. Pacific Palisades is no exception, although a Los Angeles City Council member is pleased with the progress...
Report: U.S. added nearly $700 billion to national debt in four months

Report: U.S. added nearly $700 billion to national debt in four months

By Thérèse BoudreauxThe Center Square The U.S. government added $696 billion to the national debt over the past four months, borrowing $94 billion in the month of January alone, the...

Lawmakers join Chicago Teachers Union to push for more school funding

By Jim Talamonti | The Center SquareThe Center Square (The Center Square) – State lawmakers have introduced legislation backed by the Chicago Teachers Union to immediately increase evidence-based funding and...
Illinois proposal makes businesses financially liable for climate change

Illinois proposal makes businesses financially liable for climate change

By Catrina Barker | The Center Square contributorThe Center Square (The Center Square) – A proposal to create an Illinois Climate Change Superfund is drawing sharp criticism from Republican lawmakers...
Illinois unemployment rate tops national average; state ends 2025 with fewer jobs

Illinois unemployment rate tops national average; state ends 2025 with fewer jobs

By Glenn Minnis | The Center Square contributorThe Center Square (The Center Square) – Illinois State Rep. Chris Miller argues numbers tell the story as new U.S. Bureau of Labor...
Illinois Quick Hits: Iowa wants Illinois' counties

Illinois Quick Hits: Iowa wants Illinois’ counties

By Jim Talamonti | The Center SquareThe Center Square (The Center Square) – An Iowa state lawmaker has introduced legislation that would establish a committee to study the potential transfer...
lincoln land community college graphic Logo

Board Approves $440,000 Architect Fee Increase for Campus Master Plan

LLCC Board of Trustees Meeting | December 15, 2025 Article Summary: The LLCC Board of Trustees approved a modification to the agreement with Demonica Kemper Architects, increasing fees by $440,000....
Poll: Majority prefer Trump's immigration policies over Biden's

Poll: Majority prefer Trump’s immigration policies over Biden’s

By Dan McCalebThe Center Square A majority of Americans say they prefer President Donald Trump's approach to border security and immigration than they do former President Joe Biden's, according to...
Illinois eyes smarter park funding: handicap accessibility gets priority

Illinois eyes smarter park funding: handicap accessibility gets priority

By Catrina Barker | The Center Square contributorThe Center Square (The Center Square) – Illinois lawmakers are proposing a change to the way state parks receive funding, one that could...
Nation's first primary states to begin early voting

Nation’s first primary states to begin early voting

By Andrew RiceThe Center Square Early voting has begun or is about to begin in states with the earliest 2026 midterm election primaries. Illinois, North Carolina, Texas, Arkansas, and Mississippi...
Vermont EV buses prove unreliable for transportation this winter

Vermont EV buses prove unreliable for transportation this winter

By Tate MillerThe Center Square Electric buses are proving unreliable this winter for Vermont's Green Mountain Transit, as it needs to be over 41 degrees for the buses to charge,...
Idaho has least childcare regulations, Vermont the most out of the 50 states

Idaho has least childcare regulations, Vermont the most out of the 50 states

By Tate MillerThe Center Square Idaho ranks as the freest of the 50 states when it comes to childcare regulations, while Vermont is the least free, according to a new...
lincoln land community college graphic Logo.3

LLCC Board Approves 2025 Tax Levy; Tax Rate Expected to Decrease

LLCC Board of Trustees Meeting | December 15, 2025 Article Summary: The Lincoln Land Community College (LLCC) Board of Trustees approved a 2025 tax levy totaling approximately $43.4 million during...
Lawsuit investor Burford can upend Sysco’s $50M chicken price settlement

Lawsuit investor Burford can upend Sysco’s $50M chicken price settlement

By Jonathan Bilyk | Legal NewslineThe Center Square A Chicago federal appeals panel will allow Burford Capital, the world's largest third-party lawsuit investor, to force poultry producer Pilgrim's Pride back...