Trump Warns of Even Higher Tariffs After Court Blocks Key Trade Powers
US President Donald Trump has warned that countries could face even higher import taxes (tariffs) if they try to take advantage of a recent court decision that blocked parts of his global trade policy, according to reports by BBC.
BBC says Trump made the warning on social media, stating that any country that “plays games” with existing trade agreements would be hit with tougher tariffs than before. His comments came shortly after the Supreme Court of the United States ruled that he had gone beyond his legal powers when introducing a wide-ranging tariff programme.
What the Court Decided
According to BBC, the court said Trump wrongly used a 1977 law — the International Emergency Economic Powers Act — to justify many of the tariffs introduced during his second term. That law allows emergency economic actions, but judges ruled it did not give him authority to impose such broad global trade taxes.
Even so, BBC reports that the ruling did not remove all tariffs. A complicated system of targeted tariffs on certain countries and products is still in place, and some goods remain exempt.
New Tariffs Still Moving Ahead
After the decision, Trump quickly announced a new global tariff — first set at 10% and later increased to 15% on imported goods, BBC says.
Tariffs are taxes paid by companies that bring foreign goods into the country, and those costs are often passed on to consumers through higher prices.
US Trade Representative Jamieson Greer told American media that the administration is exploring other legal ways to keep tariffs in place, BBC reports, saying officials have found methods to “reconstruct” the policy using different laws.
Under the new legal approach, the tariffs can last only 150 days unless the United States Congress approves an extension. However, BBC notes that Trump has argued he does not need additional approval.
Political Pushback in Washington
BBC says Senate Democratic Leader Chuck Schumer has strongly opposed the move, warning that Democrats would try to block any extension of the tariffs, calling them harmful to the economy.
Why Trump Supports Tariffs
Trump has long argued — as highlighted by BBC — that tariffs help American manufacturing, protect jobs, and reduce the US trade deficit (when a country imports more than it exports). He has also described trade imbalances as a national security concern.
But critics say tariffs can raise prices for businesses and ordinary consumers while slowing global trade.
Study Shows Who Really Pays
BBC cites analysis from the Federal Reserve Bank of New York showing that about 90% of the cost of earlier tariffs on imports from countries such as China, Canada and Mexico was actually paid by US companies — not foreign exporters.
Global Confusion for Trade Partners
The ruling has created uncertainty for countries that had already negotiated deals with Washington. BBC reports that nations including the United Kingdom now face questions about whether earlier agreed tariff rates will still apply under the new system.
Businesses worldwide say the constantly changing rules are making planning difficult. One exporter told BBC the past year has been a “rollercoaster,” with tariff rates repeatedly rising, falling, or changing within days.
Questions Over Billions Already Paid
Another unresolved issue, BBC says, is whether companies can reclaim the estimated $130 billion collected under the now-blocked tariffs. The Supreme Court did not give guidance on refunds, leaving the matter likely to be decided by lower courts.
US Treasury Secretary Scott Bessent said the government expects tariff revenue to remain steady despite the legal setback, BBC reports.
Unique Perspective: A Trade Policy Now Driven by Courts as Much as Politics
BBC’s coverage shows that global trade is entering a new phase where legal battles are shaping economic policy just as much as negotiations between countries. Instead of clear long-term agreements, businesses now face a system where rules can change quickly due to court rulings, political reactions, or new laws.
For many economies watching from outside — including developing markets — this situation is a reminder that modern trade disputes are no longer just about exports and imports. They are also about constitutional limits, legal authority, and domestic political fights inside powerful nations.
In simple terms, BBC suggests the world is seeing a shift from predictable trade diplomacy to a more uncertain environment where companies, governments, and consumers must constantly adjust to sudden policy changes.
Credit: BBC
https://www.bbc.com/news/articles/c5yvky5ldk1o