Trump Tariffs Update: SCOTUS ruling, New 15% levies and What's Ahead
Will Donald Trump continue to use tariffs as a central tool of his trade policy? Here's what's happened until now.
You are now subscribed
Your newsletter sign-up was successful
Want to add more newsletters?
Delivered daily
Kiplinger Today
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more delivered daily. Smart money moves start here.
Sent five days a week
Kiplinger A Step Ahead
Get practical help to make better financial decisions in your everyday life, from spending to savings on top deals.
Delivered daily
Kiplinger Closing Bell
Get today's biggest financial and investing headlines delivered to your inbox every day the U.S. stock market is open.
Sent twice a week
Kiplinger Adviser Intel
Financial pros across the country share best practices and fresh tactics to preserve and grow your wealth.
Delivered weekly
Kiplinger Tax Tips
Trim your federal and state tax bills with practical tax-planning and tax-cutting strategies.
Sent twice a week
Kiplinger Retirement Tips
Your twice-a-week guide to planning and enjoying a financially secure and richly rewarding retirement
Sent bimonthly.
Kiplinger Adviser Angle
Insights for advisers, wealth managers and other financial professionals.
Sent twice a week
Kiplinger Investing Weekly
Your twice-a-week roundup of promising stocks, funds, companies and industries you should consider, ones you should avoid, and why.
Sent weekly for six weeks
Kiplinger Invest for Retirement
Your step-by-step six-part series on how to invest for retirement, from devising a successful strategy to exactly which investments to choose.
Tariffs have been a core part of President Donald Trump's economic strategy, with new announcements and revisions occurring frequently since the start of his second term.
He has argued that these taxes on imported goods and services are crucial for reducing the United States' trade deficit and enhancing U.S. manufacturing.
- Since early April 2025, Trump has implemented or threatened sweeping tariffs on nearly all products from almost all countries.
- Trump has since announced a slew of new tariffs ranging up to 100% on everything from pharmaceuticals to kitchen cabinets and heavy-duty trucks. (More on that below.)
Meanwhile, many economists, former allies, and even some in his own party argue that Trump’s tariff policies will harm the U.S. economy by increasing costs for businesses and consumers, exacerbating inflation, and potentially slowing economic growth.
From just $107.88 $24.99 for Kiplinger Personal Finance
Become a smarter, better informed investor. Subscribe from just $107.88 $24.99, plus get up to 4 Special Issues
Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
For example, in a CBS interview, investor and philanthropist Warren Buffett described tariffs as "an act of war, to some degree."
Trump's former Vice President, Mike Pence, posted on X (formerly Twitter), describing the tariffs as "the largest peacetime tax hike in U.S. history."
But a new legal ruling is changing things.
On February 20, 2026, the United States Supreme Court ruled many of President Trump’s broad tariffs, imposed under the International Emergency Economic Powers Act (IEEPA), illegal. The landmark tariffs decision has disrupted previously announced tariff rates and created uncertainty about importer refunds.
It can be a lot to keep track of, to say the least.
So, here is more information about the various Trump tariffs, starting with the latest levies and news.
Overview
When did Trump's tariffs start?
Since taking office for a second term, Trump has threatened, implemented, or paused broad tariffs on various goods, including steel, aluminum, cars, and more.
Initially, the measures targeted countries like China and trading partner allies, including Canada and Mexico. However, Trump's most recent tariffs could ultimately impact nearly all countries.
Additionally, the inconsistent and historic nature of these tariff decisions has unsettled markets and caused confusion.
For example, on April 3, the U.S. stock market experienced its worst single-day decline since the pandemic during a sell-off following President Trump's tariff announcement. Wall Street began using the term "TACO trade" (Trump Always Chickens Out) to describe the on-and-off impacts of tariffs on the market.
Trump tariffs ruled illegal
As mentioned, on February 20, 2026, the U.S Supreme Court delivered a major blow to President Donald Trump’s economic program by striking down his sweeping global tariffs in a 6–3 decision.
The Court concluded that Trump lacked the authority to impose broad import taxes under the 1977 International Emergency Economic Powers Act (IEEPA).
The ruling, which affirms several lower court opinions on the matter, upends one of his administration’s signature economic tools and could have far-reaching effects on consumers, businesses, and U.S. trade policy.
But the decision leaves a key question unanswered: whether and how tariff refunds will happen.
Tariff Timeline
Here’s where things stand so far with Trump’s tariffs. (More detailed information on each is provided below.)
- November 5, 2025: The U.S. Supreme Court heard oral arguments in the case challenging the legality of the President's sweeping reciprocal tariffs imposed under the International Emergency Economic Powers Act (IEEPA).
- November 2, 2025: Trump announced a preliminary trade agreement between the United States and China.
- November 1, 2025: An additional 25% tariff on imported medium- and heavy-duty trucks and their parts went into effect, bringing the total tariff to 50%.
- October 1: Trump announced upcoming/proposed tariffs on patented pharmaceutical drugs, 25% on heavy-duty trucks imported into the U.S., 50% on kitchen cabinets, bathroom vanities and related products, and 30% on upholstered furniture products.
- September 29: Trump announced a 100% tariff on movies made outside the U.S.
- September 9, 2025: SCOTUS agrees to fast-track the Trump tariff case to hear oral arguments in early November.
- August 29, 2025: The U.S. Court of Appeals for the Federal Circuit ruled that most of President Trump's "reciprocal tariffs" were illegal.
- August 17, 2025: A 50% tariff rate took effect on India.
- August 6, 2025: A new tariff rate of 50% imposed on Brazil went into effect.
- July 31, 2025: The U.S. Court of Appeals for the Federal Circuit heard oral arguments on the legality of Trump's use of the International Emergency Economic Powers Act (IEEPA) to impose tariffs.
- July 22, 2025: President Trump announced the trade agreement with Japan and suggested that a trade deal with the EU had also been reached.
- July 12, 2025: Trump announces 30% tariffs to be imposed on the EU and Mexico as of August 1.
- July 6, 2025: Treasury Secretary Scott Bessent announced that tariffs would revert to their previous levels (as of April 2) on August 1 for countries that had not reached new trade agreements.
- June 27, 2025: Trump announced he was cutting off trade talks with Canada and threatened new tariff rates on Canadian goods
- June 11, 2025: President Trump announced a trade deal with China: the existing 20% “fentanyl” and 10% “reciprocal” tariffs would remain, and higher tariffs were paused for 90 days
- June 10, 2025: The U.S. Court of Appeals for the Federal Circuit allowed Trump’s tariffs to remain in effect, after lower courts found them illegal. Oral arguments are scheduled for July 31.
- June 4, 2025: The U.S. increased tariffs on steel and aluminum imports from 25% to 50%, with exceptions for the UK.
- June 1, 2025: The Trump administration delayed a 50% reciprocal tariff on the European Union (EU) to July 9
- May 30, 2025: Trump announces a 50% tariff on imported steel, a 25% increase.
- May 29, 2025: After a second federal court ruled against Trump's tariffs, a federal appeals court stayed those rulings, leaving the tariffs in place pending further court review.
- May 28, 2025: The International Court of Trade pauses many of Trump's tariffs after ruling the president doesn't have the authority to impose them under the IEEPA.
- May 23, 2025: Trump threatens 50% EU tariff and 25% Apple tariff
- May 12, 2025: U.S. and China 90-day suspension of high retaliatory tariffs.
- May 8, 2025: Trump announces trade deal with the UK.
- May 4, 2025: Trump floats the idea of a 100% tariff on foreign-made films.
- April 29, 2025: Trump changes the rules surrounding tariffs on automobiles such that steel and aluminum tariffs don't stack on top of the 25% tariffs.
- April 23, 2025: Several states file a lawsuit against the Trump administration due to its tariff policies.
- April 12, 2025: US Customs and Border Protection notice temporarily exempts cell phones and some other electronics from the 145% tariffs
- April 10, 2025: The White House says the tariff rate for China is 145%.
- April 9, 2025: Higher "reciprocal" tariff rates for many countries were set to take effect, according to the White House. But the Trump administration says this now means 125% on Chinese imports and a 90-day pause for most other countries, set to expire on July 8.
- April 7, 2025: Trump threatens 50% tariffs on China
- April 5, 2025: U.S. 10% baseline tariffs go into effect against many countries.
- April 2, 2025: Trump's Tariff' Liberation Day": Trump announces sweeping tariffs on almost all countries at half the rate the administration claims they charge the U.S. Some Senate Republicans join Democrats in a vote designed to invalidate Trump's tariffs on Canada.
- March 26, 2025: President Trump announces a 25% tariff on almost all imported cars effective as of April 3, 2025, and on key auto parts planned for May 3.
- March 12, 2025: The U.S. announces Increased tariffs on steel and aluminum to 25% globally.
- March 4, 2025: Trump increased tariffs on Chinese imports to 20%. New reciprocal tariffs have since been imposed on China.
Key Developments
Trump global 'reciprocal tariffs'
Much of the tariff confusion began when, in what he dubbed "Economic Independence Day," Donald Trump announced sweeping new reciprocal tariffs on almost all countries.
During an April 2 event in the White House Rose Garden, Trump held up a chart listing the countries, their tariff rates, and the proposed new U.S. tariff rate.
However, critics say that Trump's reciprocal tariff formula miscalculates by equating trade deficits with foreign tariff rates.
The argument is that this ignores global supply chains, currency dynamics, and consumer costs, while inviting damaging retaliation.
Lower courts rule against Trump tariffs
Back in May, a three-judge panel at the U.S. Court of International Trade in Manhattan blocked former President Donald Trump’s sweeping “Liberation Day” tariffs, ruling that he overstepped his authority by imposing blanket tariffs on imports under emergency powers. Later that same week, the U.S. Court of Appeals for the Federal Circuit granted an administrative stay, temporarily blocking the injunctions and reinstating most of the tariffs while the legal battle continues.
Then, at the end of August, the U.S. Court of Appeals for the Federal Circuit struck down most of those tariffs. In a 7-4 decision, the court ruled that IEEPA doesn’t authorize the president to impose taxes or tariffs. However, that court left the tariffs in place to give the Trump administration time to appeal to the U.S. Supreme Court.
SCOTUS eventually struck down the tariffs.
China Trade Deal Framework Announced
The Trump administration recently announced a US-China trade deal framework, which seems to serve as a temporary trade truce.
The US has reportedly agreed to cut the tariff on fentanyl-related imports from China to 10% and to delay the full implementation of its higher "reciprocal" tariffs on China until November 2026.
In return, China reportedly agreed to suspend new export controls on rare earth materials and lift all retaliatory tariffs on U.S. agricultural products like soybeans.
This is a developing story.
Trump announces new tariffs on furniture, drugs, cabinets, and more
President Donald Trump announced a new set of significant tariffs to take effect on October 1, 2025. The key elements of these tariffs include:
- A 100% tariff on patented pharmaceutical drugs imported from abroad, unless the manufacturer is building or has under construction a manufacturing facility in the United States, to incentivize domestic drug production.
- 25% tariff on all heavy-duty trucks imported into the U.S. This tariff, according to Trump, is intended to protect American truck manufacturers facing foreign competition.
- 50% tariff on imported kitchen cabinets, bathroom vanities, and related products, targeting a key category of household goods mainly sourced from overseas.
- A 30% tariff on upholstered furniture imports, a move that will affect a significant segment of the furniture market, which has already experienced price increases due to past tariffs.
These tariffs are being imposed under Section 232 of the Trade Expansion Act of 1962, with the Trump administration citing national security concerns to bolster U.S. manufacturing and reduce dependency on foreign suppliers.
This is a developing story.
50% tariff rates imposed on India and Brazil
In August, the Trump administration imposed steep 50% tariffs on imports from India and Brazil.
Brazil's tariff increase took effect on Aug. 6, stacking a new 40% tariff on top of the pre-existing 10% baseline tariff.
Indian's tariffs doubled from 25% to 50% on August 27, 2025. Those tariffs target goods tied to its purchase of Russian oil.
Trump announces trade deals with Japan and the EU
In late July, President Trump announced a trade agreement with Japan under which Japanese exports to the United States will reportedly face a 15% tariff instead of the previously threatened 25% rate.
In return, Japan reportedly committed to investing $550 billion in the U.S., primarily directed toward revitalizing key American industries, including semiconductors, pharmaceuticals, energy, and steel.
The U.S. government would receive 90% of the profits from these investments.
Trump also signaled that a trade deal had been reached with the European Union, although the exact details of the EU agreement remain unclear.
The EU reportedly agreed to substantial investments in the U.S., significant purchases of American energy products, and arms acquisitions, while facing a 15% tariff on exports to the U.S.
This is a developing story.
Auto tariffs
Trump announced a 25% tariff on all imported cars and auto parts. On May 3, tariffs went into effect on key auto parts, e.g., engines, transmissions, and electrical systems.
To reduce the impact on domestic automakers, vehicles assembled in the U.S. are eligible for partial tariff rebates of 3.75% of the vehicle’s value in the first year and 2.5% in the second. Parts already subject to steel or aluminum tariffs are exempt from this new charge.
Vehicles and parts originating from Canada and Mexico that comply with the United States-Mexico-Canada Agreement (USMCA) will initially be exempt until a system is established to levy tariffs on non-U.S. components.
Additionally, Trump has recently hinted at upcoming tariffs targeting lumber, pharmaceuticals, and other sectors.
Trump steel tariffs
On May 30, 2025, at a U.S. Steel plant near Pittsburgh, Pennsylvania, former President Donald Trump announced plans to increase tariffs on imported steel from 25% to 50%, starting June 4.
He emphasized that the higher tariff would prevent any attempts to bypass the restrictions and aimed to bolster the American steel industry.
Retaliatory measures by trade partners
Though specific details on retaliation or trade agreement announcements from global trading partners are developing.
Canada and Mexico are reportedly negotiating exemptions. Canada imposed a 25% tariff on U.S. automobiles.
Which tariffs were already paused by Trump?
On April 9, before the various court rulings, the Trump administration had temporarily suspended most new import duties for 90 days. (The 25% tariffs on some Canadian and Mexican goods, plus automobiles and imported steel and aluminum, are in place.)
The 90-day pause on reciprocal tariffs initially set to expire on July 8, 2025, was moved to August 1.
More Tariff News
30% tariffs on EU and Mexico?
On July 12, President Trump indicated that the United States would begin enforcing a 30% tariff on goods coming from both the European Union and Mexico as of August 1.
President Trump made this announcement via letters posted on his social media, pointing to ongoing trade deficits with the EU and concerns about fentanyl entering the country from Mexico.
He also indicated that if either the EU or Mexico responds with their own trade measures, the U.S. may consider raising tariffs further.
This is a developing story.
Trump EU and Apple tariff threats
On May 23, President Trump announced plans to impose a 50% tariff on all imports from the European Union starting June 1, 2025.
Trump cited frustration over stalled trade negotiations and what he describes as unfair trade barriers and practices by the EU.
Separately, on the same day, Trump warned that Apple would face a 25% tariff on its products unless it shifts iPhone manufacturing to the U.S.
No specific timeline was given for the potential action against Apple.
US and China tariff reduction
Update: The United States and China agreed to a 90-day suspension and reduction of tariffs as of May 12, 2025.
Trump trade framework with the UK
President Trump announced what he called a “landmark” trade deal with the United Kingdom on May 8, following a call with British Prime Minister Keir Starmer.
The agreement, which Trump described as “a fantastic win for American workers and British industry,” will see the U.S. lower tariffs on British steel, aluminum, and automobiles.
In return, the UK has agreed to purchase $10 billion worth of Boeing aircraft and open its market further to American agricultural exports, including beef and ethanol.
Movie tariffs?
On May 4, President Trump announced via social media that his administration would immediately imposea 100% tariff on any film made outside the U.S. and imported for American audiences. The announcement lacked specifics and hasn't come to fruition.
For more information, see our report: Will a New Trump Tariff Mean Higher Movie Ticket Prices in 2025?
Update: On September 29, 2025, in a social media post, Trump announced a 100% tariff on movies made outside the U.S. At this time, there are no further details, as this is a developing story.
Trump tariffs smartphones temporary exemption
The Trump administration temporarily exempted smartphones, laptops, and other electronics from its sweeping 145% tariffs on Chinese imports.
The decision, announced on April 12 by U.S. Customs and Border Protection (CBP), seems to spare critical tech products like semiconductors and flat-panel displays from high levies. The levies combine a baseline 20% tariff with a newly imposed 145% “reciprocal” tariff.
Republican push back against Trump tariffs
Meanwhile, some GOP lawmakers and other key voices have pushed back against Trump's tariffs.
In a CBS interview, investor and philanthropist Warren Buffett described tariffs as "an act of war, to some degree."
Trump's former Vice President, Mike Pence, posted on X (formerly Twitter), describing the tariffs as "the largest peacetime tax hike in U.S. history."
Four Republican senators joined Democratic Sen. Tim Kaine of Virginia's resolution to block Trump's tariffs on Canadian imports. In a 51-48 vote, the senators rejected the notion of a national emergency that Trump used to justify the tariffs. However, the resolution faces headwinds in the U.S. House of Representatives.
In a Fox Business interview, Sen. Ted Cruz (R-Texas) said, "I'm not a fan of tariffs," adding, "If the result is our trading partners jack up their tariffs and we have high tariffs everywhere, I think that is a bad outcome for America."
In an April interview, Sen. Rand Paul of Kentucky said, "I believe that economically, it's a misconception to think that tariffs will benefit the nation."
Tariff Product Breakdown
Here is an overview of significant tariffs currently implemented under President Trump's administration:
Trump tariffs in 2025
Category | Tariff Rate | Status |
|---|---|---|
General Imports (Most countries) | 10% | Baseline for most countries |
Steel and Aluminum | 50% | All countries, except some UK exemptions |
Auto and Auto Parts | 25% | All countries, with some USMCA/UK exemptions |
Copper | 50% (Aug 1) | All countries |
Pharmaceuticals | Up to 100% proposed | Not in effect (timeline unclear) |
| Row 5 - Cell 0 | Row 5 - Cell 1 | Row 5 - Cell 2 |
Tariff Impact
Economic impacts of Trump tariff policies: Groceries, Cars, Inflation
The economic consequences of Trump’s tariffs are becoming increasingly evident:
Automotive Industry: Some analysts estimate that the new auto tariffs could add $3,000 to the cost of U.S.-manufactured vehicles and $6,000 to those made in Canada or Mexico without exemptions. Production output could drop by as much as 30%, equating to a reduction of approximately 20,000 vehicles per day.
Inflation Concerns: Economists warn that higher tariffs could exacerbate inflation as manufacturers pass increased costs onto consumers.
As reported by Kiplinger, tariffs function as taxes on imports, which raise prices for goods like electronics, clothing, and food, disproportionately affecting lower-income households and reducing purchasing power.
According to the Yale Budget Lab, these higher costs could lead to slower GDP growth, with estimates suggesting a 0.6% reduction in 2025 and long-term economic losses equivalent to $80–110 billion a year.
Employment: While some sectors, like steel manufacturing, have seen job growth, others that rely on imported components face layoffs and reduced production capacity.
Additionally, some businesses are reportedly scaling back hiring and investment plans due to uncertainty and increased operational expenses.
Trade War: Bottom Line
Tariffs: What's next?
Here are some things to watch as the trade wars continue.
- The Trump administration may use tariff threats as leverage in bilateral talks with trading partners like Canada and Mexico under the USMCA framework and with other countries in hopes of negotiating individual trade deals.
- Industries like pharmaceuticals and lumber could face tariffs.
- Due to President Trump's tariff policies, U.S. consumers will face higher prices on a wide range of goods.
Automobiles may become significantly more expensive, with new car prices rising by thousands of dollars and repair costs increasing due to tariffs on imported parts.
Furniture, electronics, household items from China, fresh produce from Mexico, and steel-based products are also expected to see price hikes as import duties take hold.
These tariffs (and retaliatory measures expected from key trading partners) are also projected to contribute to inflation, making everyday goods more costly for U.S. households. Stay tuned.
This article has been updated to reflect recent announcements regarding Trump tariff poliy.
Related
- What Are Tariffs and Who Pays?
- Trump Tariffs on Canada, Mexico to Spike Food, Gas Prices
- Which States Will Be Hardest Hit By Trump's Tariffs?
-
I Thought My Retirement Was Set — Until I Answered These 3 QuestionsI'm a retirement writer. Three deceptively simple questions helped me focus my retirement and life priorities.
-
How to Use Home Equity to Help With Your Long-Term GoalsHomeowners are increasingly using their home equity, through products like HELOCs and home equity loans, as a financial resource for managing debt, funding renovations and more.
-
How to Find Free Money for Graduate School as Loans TightenStarting July 1, federal borrowing will be capped for new graduate students, making scholarships and other forms of "free money" vital. Here's what to know.
-
First the Penny, Now the Nickel? The New Math Behind Your Sales Tax and TotalRounding Tax A new era of "Swedish rounding" hits U.S. registers soon. Learn why the nickel may be on the chopping block, and how to save money by choosing the right way to pay.
-
Trump Tariffs Supreme Court Ruling: What's Next for Consumers and RetailersTax Law This landmark decision will reshape U.S. trade policy and could define the outer boundaries of presidential economic power for years to come.
-
U.S. Congress to End Emergency Tax Bill Over $6,000 Senior Deduction and Tip, Overtime Tax Breaks in D.C.Tax Law Here's how taxpayers can amend their already-filed income tax returns amid a potentially looming legal battle on Capitol Hill.
-
How to Open Your Kid's $1,000 Trump AccountTax Breaks Filing income taxes in 2026? You won't want to miss Form 4547 to claim a $1,000 Trump Account for your child.
-
In Arkansas and Illinois, Groceries Just Got Cheaper, But Not By MuchFood Prices Arkansas and Illinois are the most recent states to repeal sales tax on groceries. Will it really help shoppers with their food bills?
-
New Bill Would Eliminate Taxes on Restored Social Security BenefitsSocial Security Taxes on Social Security benefits are stirring debate again, as recent changes could affect how some retirees file their returns this tax season.
-
New Gambling Tax Rule Impacts Super Bowl 2026 BetsTaxable Income When Super Bowl LX hype fades, some fans may be surprised to learn that sports betting tax rules have shifted.
-
Should You Do Your Own Taxes This Year or Hire a Pro?Taxes Doing your own taxes isn’t easy, and hiring a tax pro isn’t cheap. Here’s a guide to help you figure out whether to tackle the job on your own or hire a professional.
