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President Donald Trump has said he will raise global tariffs on imported goods to 15 percent after the United States Supreme Court struck down his previous trade measures.

The president announced his decision on Saturday, revising an earlier decision to impose a new 10 percent worldwide tariff after the Supreme Court ruling, which triggered immediate concern and responses from governments and markets.

The US top court’s ruling and Trump’s new tariffs have left countries grappling with the legal and economic fallout, raising questions about ongoing agreements, tariff reductions, and the legality of past duties.

Governments are now evaluating how the new levy will affect key industries, investment plans, and trade negotiations, while analysts warn that uncertainty could persist until legal and trade frameworks are clarified.

South Korea

In South Korea, one of the US’s closest allies, the presidential office, Blue House, has released a statement, saying the government will review the trade deal and make decisions in the national interest, casting a question mark over the agreement signed in November last year, which lowered tariffs from 25 to 15 percent in exchange for $350bn in cash and investments from South Korea in the US.

“For major South Korean companies in chemicals, pharmaceuticals, and semiconductors, the Supreme Court ruling has been positive: Even if Trump introduces the new 10 percent tariffs under Section 122, they would still pay a lower rate,” said Jack Barton, an Al Jazeera correspondent in Seoul.

“However, exporters of automobiles, more than half of which go to the US, remain subject to the 25 percent tariff, and steel exports are still hit with 50 percent duties under Section 232, which was not affected by the ruling.”

The South Korean government is expected to move cautiously. Exports account for 85 percent of South Korea’s gross domestic product, with the US as the second-largest market.

“Officials have indicated that rapid changes could jeopardise major agreements, including a recent multibillion-dollar shipbuilding deal with the US and other investments,” said Barton.

“While no definitive policy statement has been made yet, the Blue House has said that the trade deal will be under careful review and changes are likely.”

India

India has faced some of the highest US tariffs under Trump’s previous use of emergency trade powers. The president first imposed a 25 percent levy on Indian imports and later added another 25 percent on the country’s purchases of Russian oil, bringing the total to 50 percent.

Earlier this month, the US and India reached a framework trade deal. Trump said Prime Minister Narendra Modi agreed to stop buying Russian oil and that US tariffs would be lowered to 18 percent for India’s top exports to the US, including clothing, pharmaceuticals, precious stones, and textiles. Meanwhile, India said it will eliminate or reduce tariffs on all US industrial goods and a range of agricultural products.

According to political economist MK Venu, founding editor of Indian publication, The Wire, “Critics have argued New Delhi should have waited for the US Supreme Court decision before finalising the interim trade deal and even trade analysts previously connected with the government have maintained it would have been wiser to wait for the court verdict.”

Venu added that Trump was eager to finalise the trade deal, which includes a commitment to buy $500bn worth of new imports in defence, energy, and artificial intelligence (AI) from the US over the next five years.

While India, he said, welcomed the reduction of tariffs to 18 percent and the removal of penal duties on Russian imports, uncertainty remains over negotiations, as the Supreme Court ruling affects the legal basis of past tariffs.

“The Indian trade delegation is likely to wait for the final outcome of the Supreme Court verdict before proceeding with further negotiations, and countries around the world are expected to follow the court’s ruling rather than rush into trade agreements under legislation deemed unconstitutional,” he said.

China

China has reacted in a muted way to the Supreme Court ruling, with much of the country still on the Lunar New Year break.

Al Jazeera’s Rob McBride, reporting from Beijing, said, “The Chinese embassy in Washington has issued a blanket statement, noting that trade wars benefit nobody, and that the decision is likely to be broadly welcomed in China, which has long been a primary target of Trump’s tariff policies.”

Since last April, he said, China has faced multiple layers of tariffs, including 10 percent on chemicals used in fentanyl production exported to the US and 100 percent on electric vehicles.

Analysts have estimated that the overall tariff level, about 36 percent, could now fall to about 21 percent, providing some relief to an economy already under strain from the COVID-19 pandemic, a prolonged property market crisis, and declining exports.

Shipments from China to the US have reportedly fallen by roughly a fifth over the past year.

“Beijing has sought to offset losses in the US market by strengthening trade ties with Southeast Asian nations and pursuing agreements with the European Union,” McBride said.

“The Supreme Court ruling may also create a more favourable atmosphere ahead of a planned state visit by Trump in early April, when he is expected to meet President Xi Jinping, potentially opening space for a reset in relations between the world’s two largest economies.”

Canada

Canada has welcomed the US Supreme Court’s decision but has pointed out that there are still some challenges ahead.

Regional leaders across the country, including those of British Columbia and Ontario, have signalled that the ruling is a positive step, according to Al Jazeera’s Ian Wood, reporting from Toronto.

However, Minister for Canada-US trade Dominic LeBlanc has said that significant work remains, as Section 232 tariffs on steel, aluminium, softwood lumber, and automobiles have remained in place.

Meanwhile, Ontario’s Premier Doug Ford has added that while optimism has grown, tension has persisted over what Donald Trump will do next, Wood said.

Mexico

Mexico’s president, Claudia Sheinbaum, said her government would be carefully reviewing the Supreme Court’s decision to assess its scope and the extent to which Mexico might be affected.

“The reality is that despite all we’ve heard over the last year about tariffs or the threat of tariffs, Mexico has actually ended up in quite a privileged, even competitive position, especially when compared to other countries,” said Al Jazeera’s Julia Gliano, reporting from Mexico City.

“We have to remember Mexico is the US’s largest trading partner, and the two countries, along with Canada, share a vast trading agreement that shields most products from the so-called reciprocal tariffs that President Trump announced.

“There were also punitive tariffs related to fentanyl and illegal immigration along the US border, which Mexico had managed to suspend while negotiations continued on those matters. Now the tariffs that Mexico has been subjected to on steel, aluminium, and car parts are not affected by today’s decision.”

So, the government here in Mexico, she said, is now standing by to see what the Trump administration comes up with next as it reels from today’s decision by the Supreme Court.

France

French President Emmanuel Macron hailed “the existence of checks and balances in democracies” after the Supreme Court’s decision, telling reporters at an event in the capital that his country wanted to continue exporting “under the fairest rules possible and not be subject to unilateral decisions”.

The country’s finance minister, Nicolas Forissier, told UK newspaper The Financial Times that the EU has the tools to hit back at the US over its tariff policy, suggesting a more combative approach.

Germany

German Chancellor Friedrich Merz said he expected the tariff burden on his country’s economy to be lower after the US Supreme Court ruling, raising the prospect of German companies recouping billions in refunds.

Flagging an upcoming visit to Washington, Merz told Germany’s ARD broadcaster that he would present a “coordinated European position” on the matter, pointing out that tariff policy is determined by the European Union rather than individual member states.

Finance Minister Lars Klingbeil said Europe was strengthening its independence and sovereignty, building new trade relationships worldwide and concluding free trade agreements.

Limits of Trump’s tariff powers

A senior legal scholar told Al Jazeera that the US Supreme Court ruling marks a key moment in the legal battle over Trump’s tariffs, focusing on constitutional limits rather than economics.

Frank Bowman, professor emeritus at the University of Missouri School of Law, told Al Jazeera that the court has for the first time confronted what he called Trump’s broader challenge to the rule of law.

“This is a ruling that is important in several respects. The first, more broadly, is that this is the first time in the last year that the Supreme Court has stepped in and attempted to do something about Donald Trump’s generalised attack on the rule of law in the United States.

“And make no mistake, although tariffs certainly are about economics, what Trump has done over the last year is essentially to defy the law. And the Supreme Court happily decided that they had had enough and that they would say no. So, they’re not ruling on economic policy. They made a decision that the president simply exceeded his constitutional authority.”

Feb. 20 (UPI) — The U.S. Supreme Court ruled Friday that President Donald Trump does not have the unilateral authority to impose tariffs.

The 6-3 decision struck down some of the broad tariffs Trump has imposed across the world from the Executive Branch. Chief Justice John Roberts said the president “must identify clear congressional authorization” to use the International Emergency Economic Powers Act to impose tariffs.

The decision came down in a lawsuit with several small businesses and Democratic attorneys general sued the Trump administration over improperly imposing tariffs. The plaintiffs argued that Trump was using the tariffs to raise revenue, a responsibility that falls under the scope of U.S. Congress, not the president.

While the Justice Department claimed that Trump was using tariffs to regulate foreign goods, Trump often said the tariffs were bringing in substantial revenue to the federal government.

Tariffs that Trump imposed using other laws will remain in place, such as tariffs on steel and aluminum.

Roberts added that the Trump administration has not provided any statutory support to its claim that the International Emergency Economic Powers Act applies to tariffs.

“We hold that the IEEPA does not authorize the president to impose tariffs,” Roberts wrote in the majority opinion.

Justices Clarence Thomas, Brett Kavanaugh and Samuel Alito, all conservative justices, dissented.

Friday’s decision is the first in which a legal challenge to Trump’s second-term policies received a full hearing and resolution from the U.S. Supreme Court.

Foreign Minister Sergey Lavrov did not say why he believed the US would respect the limits set out in New START.

Russia has said it will abide by limits on its nuclear weapons as set out in a lapsed arms control treaty with the United States, as long as Washington continues to do the same.

The New START agreement expired earlier this month, leaving the world’s two biggest nuclear-armed powers with no binding constraints on their strategic arsenals for the first time in more than half a century and sparking fears of a new global arms race.

In an address to parliament on Wednesday, Russian Foreign Minister Sergey Lavrov said that Moscow was in no rush to start developing and deploying more weapons – backtracking on comments made by his ministry last week that said Russia considered itself no longer bound by the treaty’s terms.

“We proceed from the fact that this moratorium, which was announced by our president, remains in effect, but only while the United States does not exceed the outlined limits,” said Lavrov.

“We have reason to believe that the United States is in no hurry to abandon these limits and that they will be observed for the foreseeable future,” he said, without explaining the basis for that assumption.

US President Donald Trump rejected an offer from Russian President Vladimir Putin to voluntarily abide by the limits set out in New START for another year, saying he wanted a “new, improved and modernised” treaty rather than an extension of the old one.

Russia has also indicated it wants to strike a new arms control agreement.

Washington is pushing for China to be included in the talks, pointing to its growing nuclear arsenal.

According to the Stockholm International Peace Research Institute (SIPRI), China’s nuclear arsenal is growing faster than that of any other country by about 100 new warheads a year since 2023.

However, Beijing refuses to negotiate with the US and Russia because it says it has only a fraction of their warhead numbers – an estimated 600, compared with about 4,000 each for Russia and the US.

As the treaty expired, Chinese Foreign Ministry spokesperson Lin Jian said that China would not be joining the bilateral arms-reduction talks.

Moscow says if China is brought into a new deal, then so too should the US’s nuclear allies, the United Kingdom and France, which have 290 and 225 warheads, respectively.

New START, first signed in Prague in 2010 by the then-presidents of the US and Russia, Barack Obama and Dmitry Medvedev, limited each side’s nuclear arsenal to 1,550 deployed strategic warheads – a reduction of nearly 30 percent from the previous limit set in 2002.

Deployed weapons or warheads are those in active service and available for rapid use as opposed to those in storage or awaiting dismantlement.

It also allowed each side to conduct on-site inspections of the other’s nuclear arsenal, although these were suspended during the COVID-19 pandemic and have not resumed since.

Russia in 2023 rejected inspections of its nuclear sites under the treaty, as tensions rose with the US over its nearly four-year war in Ukraine.

But it said it had remained committed to the quantitative limits set down.