After the Supreme Court of the United States struck down key tariffs imposed under emergency powers, President Donald Trump announced new trade action.
Speaking at a briefing, Trump said, “Today I will sign an order to impose a 10% global tariff under section 122.”
What is section 122?
The section 122 law allows a US president to impose tariffs of up to 15% for a period of 150 days to deal with what it describes as “large and serious United States balance-of-payments deficits.” This situation happens when a country imports far more goods than it exports, creating a trade deficit.
After the 150-day period ends, the tariffs can remain in place only if Congress approves them.
Unlike some other trade laws that require a formal investigation before higher tariffs can be imposed, Section 122 does not require advance review. This means the president can act quickly and put new tariffs on imports without delay.
What is Section 122? Trump announces new 10% global tariff after Supreme Court ruling
