New Tariff Turmoil: U.S. Trade Policy Sparks Global Response

President Trump plans to raise U.S. import tariffs to 15%. The decision follows a Supreme Court ruling and relies on Section 122, an untested law. Global reactions are mixed, with calls for tariff mitigation from China, the EU, and Switzerland while businesses express concern over potential trade disruptions.

In a striking move, President Donald Trump announced a temporary escalation in U.S. import tariffs, raising them to 15% from 10%. This decision trails a Supreme Court ruling voiding a major portion of existing tariffs and employs an untested legislative pathway, Section 122, to enact the changes.

International reactions have been swift. China's Commerce Ministry is scrutinizing the U.S. high court's tariff ruling and pressed Washington to lift unilateral measures on trade partners, citing violations of international and domestic laws. Meanwhile, the European Commission insisted the U.S. honor terms of a prior agreement, stating the new measures undermine transatlantic trade stability.

Economic leaders express concern about potential business disruptions. ECB President Christine Lagarde emphasized the risk of uncertainty in the business community, while Swiss officials suggested permanent adjustments to U.S. tariffs could be on the horizon, underscoring the Trump administration's firm stance on trade policy objectives.