NewKerala.com

US Imposes 10% Import Duty After Supreme Court Strikes Down Tariffs

The US administration will impose a temporary 10% ad valorem import duty on articles entering the United States, effective February 24. This action follows a Supreme Court ruling that struck down previous reciprocal tariffs imposed under the IEEPA, deeming them illegal. President Donald Trump signed the proclamation, invoking authority under Section 122 of the Trade Act of 1974 to address fundamental international payments problems. The temporary tariffs can last up to 150 days and are part of the administration's ongoing effort to rebalance trade relationships.

Key Points: US 10% Import Duty Effective Feb 24 After SC Ruling

  • 10% duty effective Feb 24
  • Response to SC ruling on IEEPA tariffs
  • Invokes Trade Act of 1974
  • Temporary measure up to 150 days
  • Aims to address trade deficits
2 min read

White House confirms 10% import duty effective Feb 24 on goods after SC ruling

The White House confirms a new 10% import duty starting February 24, invoking the Trade Act after the Supreme Court struck down previous tariffs.

"alternative tools would be implemented to address many of the issues at the heart of the President's reciprocal tariff program - USTR"

Washington DC, February 21

The US administration has imposed a 10 per cent ad valorem import duty on articles imported into the United States, after the Supreme Court struck down the reciprocal tariffs imposed by them under the IEEPA, terming them as illegal.

The temporary 10 per cent import duty will take effect February 24 at 12:01 a.m. eastern standard time.

Some goods will however not be subject to the temporary import duty because of the needs of the US economy or in order to ensure the duty more effectively addresses the fundamental international payments problems facing the United States.

Today, President Donald Trump signed a Proclamation imposing a temporary import duty to address fundamental international payments problems and continue the Administration's work to rebalance its trade relationships to benefit American workers, farmers, and manufacturers.

President Trump is invoking his authority under section 122 of the Trade Act of 1974, which empowers the President to address certain fundamental international payment problems through surcharges and other special import restrictions.

Section 122 authorises the US president to impose temporary tariffs of up to 15% for a maximum of 150 days to address what the law describes as "large and serious" US balance-of-payments deficits - situations where imports significantly exceed exports.

Tariffs imposed under Section 122 automatically expire after 150 days unless Congress votes to extend them. While the time limit is explicit, trade experts note that a president could allow the measures to lapse and potentially reintroduce them by declaring a fresh balance-of-payments emergency.

The Trump Administration said it is committed to continue implementing the President's trade policy, which was at the core of his campaign and agend.

USTR said in a statement. "For many months, the Trump Administration has cautioned foreign trading partners and the business community that if the Supreme Court were to limit the President's authority to impose tariffs under IEEPA, alternative tools would be implemented to address many of the issues at the heart of the President's reciprocal tariff program."

- ANI

Share this article:

Reader Comments

P
Priya S
The timing is tricky with the budget session just over. Our Finance Minister will need to assess the impact on sectors like textiles, gems, and auto components. This "America First" policy keeps creating waves globally.
R
Rohit P
Honestly, while this is a challenge, it might also be a push for India to diversify its export markets and strengthen domestic manufacturing under Make in India. We can't be overly reliant on any single market.
S
Sarah B
Reading this from an economic perspective, using Section 122 for a 150-day tariff is a short-term fix. It creates uncertainty for businesses on both sides. Long-term trade agreements are better than these emergency measures.
V
Vikram M
The Supreme Court striking down the previous tariffs shows the system works. But the administration just finds another route. It feels like policy whiplash for companies trying to plan. Hope our trade diplomats are proactive.
K
Karthik V
Key line: "Some goods will however not be subject to the duty..." Which goods? If it's tech and services where India is strong, impact may be muted. Need clarity from the Commerce Ministry ASAP.
M
Michael C
Respectfully, while protecting domestic industry is important, constant tariff changes disrupt global supply chains. Many Indian and American businesses are partners, not

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

Leave a Comment

Minimum 50 characters 0/50