10% Global Tariff Imposed Under Section 122 of the Trade Act of 1974
Hours after the SCOTUS ruling, the President imposed a flat 10% surcharge on most U.S. imports under Section 122, effective Feb 24 and limited to 150 days unless Congress extends it.
Hours after the SCOTUS ruling, the President issued a proclamation imposing a flat 10% surcharge on most U.S. imports under Section 122, citing balance-of-payments deficits. The tariff applies uniformly to all countries (no country-specific rates) and took effect Feb 24 at 12:01 a.m. ET. It is limited to 150 days unless Congress extends it.
Why it matters
Unlike the old IEEPA regime, Section 122 applies a single flat rate across all trading partners. Countries that previously faced high IEEPA rates (e.g., China, India, Vietnam) now see lower duties, while countries with low or negotiated rates may face higher ones. The 150-day clock creates a hard deadline for the Administration to establish replacement authorities.
Watchouts
USMCA-qualifying goods exempt. Section 232 products excluded (no stacking). Critical minerals, energy, pharma, and electronics also exempt. In-transit exemption for goods loaded before Feb 24.