Trump pursues new import taxes

President Donald Trump moved on February 20 to replace his blocked emergency tariffs with a temporary 10% import duty under Section 122 of the Trade Act of 1974. (whitehouse.gov) The White House said the new duty takes effect at 12:01 a.m. Eastern on February 24 and lasts 150 days. It described the measure as a response to what Trump called “fundamental international payments problems.” (whitehouse.gov 1) (whitehouse.gov 2) In a separate order the same day, Trump ended the additional ad valorem duties his administration had imposed under the International Emergency Economic Powers Act, or IEEPA. Those earlier actions had covered imports tied to China, Mexico, Canada, Venezuela, Brazil, Russia, Cuba and Iran, as well as the broader reciprocal tariff program. (whitehouse.gov) The legal trigger was a Supreme Court ruling issued February 20 in *Learning Resources v. Trump*. The court said IEEPA did not authorize the president to impose tariffs, rejecting the legal foundation Trump had used for several 2025 and 2026 import duties. (supremecourt.gov) Section 122 is a narrower tool than IEEPA. The White House tied it to balance-of-payments problems, and Customs and Border Protection said the surcharge applies to imported articles from every country unless specifically exempt. (whitehouse.gov) (content.govdelivery.com) The administration carved out a long list of exclusions, including some critical minerals, energy products, pharmaceuticals, certain electronics, many vehicles and parts, and United States-Mexico-Canada Agreement compliant goods from Canada and Mexico. It also kept in place the suspension of duty-free de minimis treatment for low-value shipments. (whitehouse.gov 1) (whitehouse.gov 2) Customs and Border Protection issued implementation guidance on February 23, one day before the new duty took effect. The bulletin said the Section 122 surcharge is an additional 10% ad valorem duty for 150 days unless an exemption applies. (content.govdelivery.com) The practical effect is a tariff reset, not a tariff retreat. Trump lost one legal pathway at the Supreme Court and switched to another statute that gives him a shorter, more limited import surcharge. (supremecourt.gov) (whitehouse.gov) The clock now runs on the 150-day window written into the White House proclamation and Customs guidance. That leaves importers, customs brokers and retailers planning around a tariff system that changed on February 20 and is scheduled to expire unless Washington takes another step. (whitehouse.gov) (content.govdelivery.com)