New Trump Tariffs Target Balance of Payments Deficit Amid Legal and Economic Warnings
President Trump launched new tariffs today citing a balance of payments crisis. Experts dispute the claim and suggest the move faces significant legal hurdles.
President Donald Trump has imposed temporary 15% tariffs under Section 122 of the Trade Act of 1974, a rarely used authority, to replace previous measures struck down by the judiciary in the US 
US. This move comes only hours after the U.S. Supreme Court struck down prior tariffs that had been established under the International Emergency Economic Powers Act (IEEPA). The transition to this new legal framework represents a swift structural shift in how the administration justifies its trade policy and ensures that tariff collections continue without a prolonged interruption.
US. This move comes only hours after the U.S. Supreme Court struck down prior tariffs that had been established under the International Emergency Economic Powers Act (IEEPA). The transition to this new legal framework represents a swift structural shift in how the administration justifies its trade policy and ensures that tariff collections continue without a prolonged interruption.The White House announced that the transition to Section 122 of the Trade Act of 1974 shifts the legal basis for tariff collections to address balance-of-payments concerns. This change resulted in the immediate resumption of tariff collections at midnight on Tuesday, February 24, 2026, effectively replacing the collections that were halted by the court's ruling against the IEEPA framework. The U.S. Department of Justice, the U.S. Treasury, and the office of the U.S. Trade Representative are coordinating the implementation of these new orders as the administration seeks to maintain its economic agenda.
