Trump’s new 10% global tariffs come into effect. How does it affect India and other countries?
Trump 10% global tariffs come into force after the US Supreme Court struck down higher levies, reshaping trade policy and impacting India-US trade dynamics.
Trump initially announced he would introduce a 10% tariff rate globally before increasing the rate to 15% on Saturday. (AI Generated Image)
US President Donald Trump’s new global tariffs at 10 per cent have kicked in from Tuesday, which will be imposed on all goods not covered by the exemptions, the US Customs and Border Protection (CBP) said.
After the US Supreme Court, in its ruling Friday, blocked the tariffs it deemed were illegally justified on grounds of an emergency, Trump initially announced he would introduce a 10 per cent tariff rate globally before increasing the rate to 15 per cent on Saturday. However, according to official documents, the tariff has been fixed at the lower 10 per cent rate from Tuesday, with no directives to increase it further.
The Supreme Court struck down the Trump administration’s global tariffs imposed in April last year in a 6-3 decision and held that the president overstepped his powers. It paved the way for potentially billions of dollars in tariff refunds, but Trump, Friday, indicated that refunds would not come without a legal battle. “We have alternatives – great alternatives and we’ll be a lot stronger for it,” he said.
Not clear why lower rates are imposed
President Trump earlier announced that a global tariff of 10 per cent will be imposed after the Supreme Court deemed the levies illegal, but later increased it to 15 per cent. Now, in the official notification issued by the CBP, a lower rate has been imposed, creating confusion surrounding the US trade policy, as it didn’t offer any explanation in the notice why a lower rate was being imposed.
The new tariffs came into effect on Sunday midnight, while the earlier tariffs, imposed by the Trump administration, which ranged from 10 per cent to 50 per cent, were halted after the Supreme Court annulled it. It remains unclear how the companies and countries would be refunded for tariff payments made in the past 10 months.
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Trump invoked section 122 of the Trade Act of 1974 to impose global tariffs as it allows the US president to impose the new duties for up to 150 days to address “large and serious” balance-of-payments deficits and “fundamental international payments problems.”
Since President Trump announced a blanket 10 per cent levy for 150 days on all goods imported to the US from around the world, other than exceptions, India now faces a tariff rate of 10%, which comes down from the earlier announced 18%.
After the Supreme Court invalidated Trump’s reciprocal tariffs, the dynamics of the India-US trade deal are reportedly set to change as both countries haven’t legally signed an agreement which has been in the making since last one year.
While Washington had decided to lower India’s erstwhile tariff of 50 per cent (25 per cent tariff and 25 per cent additional tariff imposed due to New Delhi buying Russian crude) to 18 per cent, the levies on Indian imports would come down to 10 per cent with new tariffs kicking in.
Nischai Vats is a Deputy Copy Editor at The Indian Express. His work primarily covers US politics and visa and immigration policy, alongside broader international developments, with an emphasis on accuracy, verification, and clear explainers.
Experience
Nischai joined The Indian Express in May 2024 where he works on writing, editing, and refining high-impact stories for digital platforms. His role involves ensuring editorial consistency, factual accuracy, and clarity in coverage of complex policy-driven subjects.
Earlier in his career, he worked across Indian digital newsrooms in reporting and editing roles, including stints at Inshorts, Newslaundry, Tiranga TV, and Catch News. His newsroom experience spans rapid digital publishing, ground reporting, and copy editing across national, civic, and policy beats.
Expertise
His core areas of focus include:
US politics and governance: Coverage of American political developments, executive actions, and policy shifts.
US visa and immigration policy: Reporting and editing stories on visa categories, regulatory changes, and immigration pathways affecting global audiences.
Editorial accuracy and copy editing: Ensuring clarity, language precision, and verification in fast-paced digital news environments.
Authoritativeness and trustworthiness
Nischai's journalism is grounded in verified sources, official documentation, and clear attribution, in line with The Indian Express’ editorial standards. His background across reporting and editing enables him to translate complex policy updates into reliable, reader-friendly coverage. ... Read More
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Trump initially announced he would introduce a 10% tariff rate globally before increasing the rate to 15% on Saturday. (AI Generated Image) 
