Scott Bessent Hints at 15% Global Tariff This Week; Wider Duties May Return in 5 Months

The United States plans to impose a 15% global tariff on imports despite a recent Supreme Court ruling against previous tariffs. Treasury Secretary Scott Bessent has indicated these tariffs could revert to old levels in 5 months. 

Tariff Increase and Legal Context 

This week, the US government is expected to increase its global tariff from 10% to 15%. This move follows a Supreme Court ruling on February 20, 2025, which declared that the Trump administration lacked the authority to impose broad tariffs under the International Emergency Economic Powers Act. In response, a new executive order introduced a 10% tariff, which is now set to increase. 

New Legal Framework for Tariffs 

The latest tariffs are being implemented under Section 122 of the Trade Act of 1974. This allows temporary import restrictions for 150 days without requiring congressional approval.  

During this period, investigations by the US Trade Representative and the Commerce Department aim to establish a long-term tariff strategy. These investigations could provide legal justification for additional trade restrictions in the future. 

Impact on International Trade Relations 

Despite the Supreme Court's decision, Treasury Secretary Bessent believes that alternative legal avenues remain viable for imposing tariffs. This includes sector-specific tariffs on steel, aluminium, and automobiles that continue to be in effect. The administration's intention is to rebuild its trade policy framework while adhering to legal protocols.  

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Legal and Economic Implications 

The Supreme Court's ruling impacts the Trump administration's trade policies, compelling the need for legally robust mechanisms for tariff imposition. The new 15% tariff, however, faces the challenge of aligning with international trade rules. The coming months will likely see economic evaluations and legal scrutiny over these tariff decisions. 

Conclusion 

The US intends to increase its global tariff to 15%, with an expectation of reverting to prior levels within 5 months. While recent legal challenges have shaped these tariff adjustments, the administration is working on developing durable trade barriers through investigations and legal strategies. 

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