Has Donald Trump lost his most powerful tariff weapon?

Deutsche Welle
February 22, 2026
AI-Generated Deep Dive Summary
Donald Trump's reliance on tariffs as a central tool in his economic and foreign policy has been significantly challenged by the US Supreme Court's recent ruling declaring his emergency tariffs illegal. This decision marks a pivotal moment in Trump's second term, potentially weakening his preferred method of wielding tariffs to influence trade negotiations and domestic politics. Although the ruling does not eliminate tariffs entirely from Trump's playbook, it limits their unpredictability and effectiveness, as seen by his abrupt imposition of 10% and later 15% global tariffs despite the legal restrictions. The Supreme Court's decision has removed Trump's ability to unilaterally impose sudden, high tariffs, which he often used to pressure foreign governments. This shift is significant because it reduces the leverage Trump had in shaping international trade dynamics. While tariffs on critical sectors like steel, aluminum, and cars remain in place, the administration is exploring alternative ways to impose tariffs under different legal statutes. However, many of the reciprocal tariffs previously applied to other countries have been invalidated, replaced by a new global tariff that expires in 150 days unless extended by Congress. The ruling raises questions about the future of trade agreements with countries like India and the EU, which had reduced "Liberation Day" tariffs in response to Trump's earlier tariff threats. While these partners are unlikely to abandon existing deals immediately due to potential US retaliation, the decision could encourage them to revisit negotiations seeking more favorable terms as clarity on US trade policy evolves. This legal setback may prompt a broader reassessment of Trump's trade strategy, potentially leading to a recalibration of his approach or doubling down on protectionist measures. The outcome is crucial for global trade relations, as it signals a potential shift in the unpredictability and dominance of US tariffs in international diplomacy.
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Originally published on Deutsche Welle on 2/22/2026