On Friday, February 20th, President Trump held a press conference in response to the latest tariff ruling by the US Supreme Court, expressing disappointment with the outcome.
“I am deeply disappointed with the Supreme Court’s decision on tariffs. I am ashamed of certain judges who lacked the courage to do what is in the best interest of our country, and I am immensely ashamed of that,” the President said at the White House press conference.
Trump announced that he would sign an executive order on Friday imposing a 10% tariff on global goods, in addition to other tariffs.
“Today, I will sign an executive order imposing a 10% tariff on global goods under Section 122 of the Trade Act, excluding the normal tariffs we have already imposed,” the President said.
He also stated that all tariffs imposed under Section 301 of the Trade Act remain valid and multiple investigations will be initiated.
Earlier that day, the US Supreme Court ruled that President Trump’s unilateral decision to implement comprehensive tariffs worldwide under a law meant to address national emergencies violates federal law.
Six justices found that the emergency power invoked by the President “does not suffice.” Three other justices believed that the law, history, and previous court rulings favored the Trump administration’s position.
This ruling dealt a significant blow to the White House, as tariffs have been a cornerstone of the President’s diplomatic and economic agenda. It also marks a major setback for the Trump administration at the conservative-leaning Supreme Court. Additionally, the outcome of the tariff case will have a significant impact on the global economy.
Following the ruling, Trump plans to explore alternative measures to counter the court’s rejection of his initial plans.
“We have alternative options,” the President added. “Such as increasing revenue. We will generate more revenue, which will make us stronger.”
He mentioned several US tariff laws as viable options, including Sections 232, 122, 201, and 301. “Section 338 could also be considered, but that requires a lengthier process,” he said. Some of these options require investigations before the tariffs can be imposed.
“I will now take a different path, perhaps the one I should have taken from the beginning,” he said, referring to the next steps as “stronger than our initial choice.”
Trump argued that the ruling “strengthens and clarifies the President’s authority to regulate trade and impose tariffs.”
The President announced that following the Supreme Court’s ruling, he would immediately reinstate a 10% tariff on global goods under Section 122 of the Trade Act.
However, this trade law stipulates that unless approved by Congress for an extension, the new tariff’s duration is limited to a maximum of 150 days.
Trump also mentioned that he plans to initiate several new investigations, which are typically prerequisites for tariffs imposed under Section 301 of the Trade Act.
He revealed that the 10% global tariff he announced will last approximately five months.
“During this roughly five-month period, we will conduct various necessary investigations to determine fair tariffs or tariff deadlines for other countries,” he said.
When asked whether the tariffs would last only 150 days or indefinitely, the President responded, “We have the right to do what we want, but it will take effect from now on. I think starting from three days after.”
Trump warned that some countries may be celebrating the Supreme Court’s ruling, but cautioned that they might not be happy for long.
Regarding trade agreements with foreign countries, the President stated, “Some agreements are effective, many agreements are effective, but some agreements (under IEEPA) are not, and they will be replaced by other tariff measures.”
He added that all agreements are in effect, but their implementation may vary.
Trump challenged the Supreme Court’s tariff ruling as nonsensical.
“I can destroy trade, I can destroy the country. I can even impose trade embargoes on foreign countries. I have free rein. But I can’t just levy $1 (in tariffs) because that’s not what the law says,” he said.
“How absurd is this?”
Trump cited Justice Brett Kavanaugh’s dissenting opinion, which suggested that the ruling may not substantially limit the President’s future authority to impose tariffs.
“He is right. In fact, the tariffs I can impose are much higher than what I have previously imposed,” the President said.
The conservative justice stated in his dissenting opinion that the ruling may not necessarily prevent Trump from “imposing most or all such tariffs using other statutory powers,” and concluded that “the court’s decision today is unlikely to significantly curtail the President’s tariff powers in the future.”
When asked about the procedure for refunds of tariff revenue, Trump mentioned that the US may end up in court for the next five years.
“They will take months to write an opinion, and they don’t even discuss this issue. We have collected hundreds of billions, not just millions, but hundreds of billions of dollars. So I said, ‘So what do we do with the money we’ve collected?’ This issue is not even being discussed by anyone,” the President said.
“I think we’ll have to litigate for the next two years.”