India will now face a 10% tariff on its exports to the United States after a major ruling by the Supreme Court of the United States struck down former President Donald Trump’s sweeping global tariff order.
According to government sources, the White House has issued a fresh global tariff directive setting duties at 10% for trading partners, including India. The revised rate will come into effect from February 24. An earlier executive order that was expected to reduce India’s tariff burden from 25% to 18% was not released following the court’s decision.
The development comes hours after Trump said at a White House briefing that the US had “flipped” its trade equation with India. Referring to Prime Minister Narendra Modi as “a great man,” Trump claimed India had been imposing unfair tariffs and that a new arrangement ensured the US would not pay tariffs while India would.
The Supreme Court, in a 6–3 majority verdict authored by Chief Justice John Roberts, ruled that Trump exceeded his authority by invoking the International Emergency Economic Powers Act (IEEPA) of 1977 to impose broad global tariffs without clear approval from Congress. The court held that such sweeping economic actions require explicit legislative backing.
Despite the setback, Trump announced he would invoke Section 122 of the Trade Act of 1974 to impose up to 10% tariffs on all trading partners. He clarified that existing duties under Sections 232 and 301 would remain in force and hinted at a “backup plan” to restore reciprocal tariffs through alternative mechanisms.
The ruling marks a significant moment in US trade policy, potentially reshaping tariff negotiations with key partners like India while reinforcing Congressional authority over major economic decisions.