US President Donald Trump on Monday intensified his criticism of the US Supreme Court after it ruled against his sweeping tariff program last week, signaling he may deploy alternative tariff mechanisms and licensing powers.
In a social media post, Trump warned that any country that seeks to “play games” following what he described as a “ridiculous Supreme Court decision” would face even higher tariffs than previously agreed. He asserted that while the court blocked certain emergency-based tariffs, other tariff powers remain valid and could be used “in a much more powerful” manner.
What triggered the escalation?
Last week, the Supreme Court ruled that Trump had exceeded his presidential authority when he imposed higher tariff rates under an economic emergency law. The decision, authored by Chief Justice John Roberts, reaffirmed the court’s authority to check executive power.
Despite the setback, Trump announced on Saturday that he would raise a temporary tariff from 10% to 15% on US imports from all countries, the maximum level allowed under the applicable law. On Monday, he also floated the idea of using licensing requirements and associated fees as a potential trade pressure tool, though he did not provide detailed plans.
Global reaction and market impact
The renewed trade uncertainty weighed on financial markets:
- Wall Street futures and the US dollar declined early Monday.
- Oil prices initially fell on concerns over global growth and fuel demand, though they later steadied amid reports of planned US-Iran talks.
- China urged Washington to roll back tariff measures.
- The European Union signaled it may freeze its trade agreement.
- India postponed planned trade negotiations with the US.
The developments add fresh volatility to global trade dynamics, with investors closely monitoring whether the administration will formally implement additional tariff or licensing measures.
Trump also used his remarks to criticize the justices involved in the ruling, including two whom he had appointed during his first term. Separately, he indicated concern over a forthcoming Supreme Court decision regarding birthright citizenship, suggesting broader tensions between the executive branch and the judiciary may continue.
Markets are expected to remain sensitive to further policy clarity in the coming days.
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