After the Supreme Court tossed out his signature tariffs earlier Friday, President Trump said he signed an order to impose a new 10% global tariff using a different legal authority. He said the new levy would be “over and above” existing tariffs.
The administration plans to use Section 122 of the Trade Act of 1974, which allows tariffs for up to 150 days, and then pursue longer-lasting actions through new investigations under Section 301. Section 301 probes can lead to more permanent tariffs after an investigation process.
- Markets took the pivot in stride. The S&P 500 rose 0.7%, and several trade-sensitive names gained, including Stellantis, Estée Lauder, and Stanley Black & Decker.
- Investors told the Journal they had anticipated tariffs could return via alternative legal routes, which may explain the muted reaction.
What to watch next is how quickly the administration launches Section 301 investigations, and whether trading partners respond while the 150-day window under Section 122 is in effect. Those next steps will matter for how long higher import costs could persist for companies and consumers.
