Trump’s New Tariff Threat Could Upend Global Trade Again. Here’s What You Need To Know

President Donald Trump, right, joined by Solicitor General John Sauer, as Trump speaks with reporters in the James Brady Press Briefing Room at the White House, Friday, Feb. 20, 2026, in Washington.Donald Trump has threatened to turn international trade upside again by announcing plans to slap 15% tariffs on all foreign goods imported to the US.The sudden announcement came after the US Supreme Court scrapped Trump’s previous 10% levy, saying he did not have authority to impose such a sweeping rule.Now, countries around the world are nervously waiting to see if the US president will follow through on his warning.Here’s what you need to know.What Did The Supreme Court Rule?In a 6-3 decision, the justices said Trump had overstepped when he announced his plans to impose sweeping tariffs last April.At the time, he was using a 1977 law called the International Emergency Economic Powers Act. Government data shows the US has already collected at least $130 billion (£96.4 billion) so far.But the justices said it was up to Congress, not the president, to impose such sweeping tariffs.They said nothing in the law Trump used to enact his dramatic trade policy granted him such powers.How Has Trump Reacted?Pretty badly. In a press conference on Friday, he attacked those who voted against him in the Supreme Court.He said he was ashamed of “certain members of the court”, alluding to the three conservative judges who rejected his plans, while calling the three liberal judges “a disgrace”.Trump furiously announced that he would replace the old levy – now scrapped – with another 10% global tariff, this time using other laws.He declared that he would use a law which has never been deployed before, a temporary solution under Section 122 of the 1974 Trade Act which allows him to increase levies for five months before Congress has to have a say.Then on Saturday, he wrote on Truth Social that this would be hiked up to the maximum allowed – 15%.It remains unclear exactly when these new tariffs might come in.Trump said his administration had decided to press ahead with this drastic move after the review of the Supreme Court’s “ridiculous, poorly written, and extraordinarily anti-American decision on Tariffs”.Why Is This So Important To Trump?Trump has put the economy at the heart of his plan for governance.These sweeping tariffs were his way to force businesses to enact “America First” by producing and investing in the US first.So the Supreme Court’s move goes straight to the heart of his agenda.It was a major moment to see the president’s power reined in, too.Trump has repeatedly exercised his presidential authority and rarely faced any backlash or checks on his powers since returning to office last January.There’s a chance the US might have to give back the money it raised, which would cause further embarrassment for the president.What Has The UK Said About Tariffs?The UK used to have a special deal with the States which meant Trump slapped just a 10% levy on all of its goods at a time when he was forcing much higher rates on other countries.On Friday, a government spokesperson said: “This is a matter for the US to determine but we will continue to support UK businesses as further details are announced.“Under any scenario, we expect our privileged trading position with the US to continue and will work with the administration to understand how the ruling will affect tariffs for the UK and the rest of the world.”Education secretary Bridget Phillipson failed to rule out UK retaliation if the tariffs go ahead.She told Sky News: “We always stand up for what’s right for Britain. And I think the prime minister demonstrated that with the approach he took around Greenland.“But the reality is that if you want to get things done, it’s better to do that behind the scenes.”She added: “You get more done when you have serious conversations, often not in front of cameras or out there in the public, but actually behind the scenes, working closely with between governments.“And we do have a really strong relationship with the US, that is something that is not about one president or one prime minister. “It’s about that long standing and enduring relationship that is right for our country and is right for national security, and also really important at a time when we see significant global instability that we work together on those key questions like defence.”Related…’I Will Not Yield’: Starmer Warns Trump He Won’t Back Down Over Greenland Despite Tariffs ThreatTrump Slaps Tariffs On UK And 7 Other European Countries Until US Controls GreenlandTrump Doubles Down On Threat To Slap Tariffs On Europe Over Greenland HuffPost UK – Athena2 – All Entries (Public) Read More