&imwidth=800&imheight=600&format=webp&quality=medium "Will India pay 10% or 18% tariffs after SCOTUS rules Trump’s duties illegal? White House says…")
After US President Donald Trump announced a 10 per cent global tariff following the US Supreme Court ruling that struck down many of his sweeping trade duties, a White House official clarified that tariff rates for India fall from 18 per cent to 10 per cent. This comes after a ruling by the United States’ top court, which stated that the International Emergency Economic Powers Act (IEEPA) “does not authorise the President to impose tariffs.”
When asked whether India will be paying 10 per cent tariffs and if they would replace earlier tariffs imposed by Trump under the IEEPA, a White House official told ANI, “Yes, 10 per cent until another authority is invoked.” The official also advised US trade partners to abide by the trade deals.
After suffering a major legal blow from the US Supreme Court, Trump announced a 10 per cent global tariff “effective immediately” under Section 122 of the Trade Act of 1974. The temporary duty is applicable for a period of 150 days and is set to take effect from February 24.
“It is my Great Honor to have just signed, from the Oval Office, a Global 10% Tariff on all Countries, which will be effective almost immediately,” Trump announced on his Truth Social platform.
What did US Supreme Court rule?
The US Supreme Court on Friday (Feb 20) ruled 6-3 in the judgment, saying that Trump’s tariffs imposed under IEEPA were unlawful.
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The court noted that “had Congress intended to convey the distinct and extraordinary power to impose tariffs” with IEEPA, “it would have done so expressly, as it consistently has in other tariff statutes.”
Trump says ‘nothing changes’
Despite the Supreme Court’s ruling, Trump said India will continue to face 18 per cent tariffs.
“Nothing changes. They’ll be paying tariffs, and we will not be paying tariffs. This is a reversal of what used to be,” Trump said, calling it a “fair deal”. He also described Prime Minister Narendra Modi as “a great gentleman a great man” and said the agreement marked a reversal of past trade terms.
“In terms of the US, He was ripping us off. So we made a deal with India. A fair deal now. We are not paying tariffs to them, and they are. We did a little flip,” said Trump.
