Trump, after ruling mutual tariffs illegal: “10% additional tariff on the whole world” [Lee Sang-eun’s Washington Now]

“We’ll fight it out in court over refunds”

U.S. President Donald Trump said he would impose an additional 10% tariff on countries worldwide in response to the federal Supreme Court’s ruling on the 20th (local time) that his mutual tariffs were illegal.

At an afternoon press conference in the White House briefing room, Trump said, “I will sign today to add a 10% global tariff using Section 122 of the Trade Act.”

▶10% global tariff for 150 days under Section 122

Section 122 of the Trade Act authorizes the executive branch, in response to a “large and serious” balance-of-payments deficit, to impose an “import surcharge” of up to 15% on trading partners and to set import quotas. Such measures, however, are valid only for 150 days. Trump also said at the press conference that the measure would “remain in place for about five months.” He explained, “Over about five months, we will carry out various investigations needed to apply fair tariffs to other countries—meaning a tariff period,” adding, “We have the right to do what we want, but we’re going to impose them in practice. Probably starting in three days.”

If Congress agrees, it could be possible to impose tariffs beyond 150 days, but it is unlikely the Trump administration will cooperate with Congress to clear this hurdle. While Republicans control both the Senate and the House, they do not hold a large majority. Given that there is no shortage of criticism of Trump’s tariff policy even within the Republican Party—and the possibility of defections—pushing for congressional passage would be tantamount to giving up Trump’s signature hard-line tariff approach.

▶Mentions license-fee structure as within authority

Trump said at the press conference that he would have the authority if structured as a license fee, but he did not advance the idea in any concrete way.

▶Trade deals remain valid with foreign countries, but will proceed differently

He gave an ambiguous answer when asked about the validity of trade agreements concluded with foreign countries. Trump said, “Some will stand. Quite a few will stand. Some will not stand. Those will be replaced with other tariffs.” He added, “All agreements are valid, but we’ll just proceed in a different way.”

▶On refunds: “We’ll fight it in court for five years”

On refunds of tariffs already collected, Trump said, “We’ll be fighting it out in court for the next five years,” signaling he has no intention of issuing refunds easily. In other words, to obtain refunds, parties would have to wage a grueling legal battle against the U.S. government.

▶Bessent: “No change in tariff revenue this year”

Treasury Secretary Scott Bessent, in remarks at the end of a lecture at the Economic Club of Dallas, insisted regarding the ruling that “the court did not issue a decision opposing President Trump’s tariff policy.” He said, “The six justices merely ruled that the authority under the International Emergency Economic Powers Act (IEEPA) cannot be used to raise even $1 in revenue,” adding, “We will invoke other alternative legal authorities to replace the IEEPA tariffs.”

Bessent said, “We will utilize the Section 232 and Section 301 tariff authorities, whose legitimacy has been affirmed through thousands of legal cases,” and argued, “According to Treasury estimates, if use of Section 122 authority is combined with Section 232 and Section 301 tariffs that could be further strengthened going forward, tariff revenue in 2026 will see virtually no change.”

Washington=Correspondent Lee Sang-eun selee@hankyung.com