US President Donald Trump has announced an increase in the global tariff rate from 10% to 15%, effective immediately. This decision follows a Supreme Court ruling that limited his authority to impose tariffs under the International Emergency Economic Powers Act (IEEPA).
Details of the Tariff Increase
In a post on Truth Social, Trump stated, “As President of the United States of America, I will be, effective immediately, raising the 10% worldwide tariff on countries, many of which have been ‘ripping’ the US off for decades, without retribution, until I came along, to the fully allowed, and legally tested, 15% level.” This announcement marks a shift from his previous declaration of a 10% tariff, which was made just a day earlier.
Legal Framework and Limitations
Trump’s authority to impose these tariffs is being questioned. According to pro-crypto attorney Adam Cochran, the laws Trump is utilizing only permit tariffs on countries where the US has a trade deficit, for a limited duration of 150 days, and within a capped percentage. This raises concerns about the sustainability of such tariffs.
Market Reactions
Historically, tariff announcements have led to significant volatility in both the stock and cryptocurrency markets. However, the recent tariff increase did not trigger the expected sell-off in crypto assets. Bitcoin (BTC) maintained its price around $68,000, while Ether (ETH) showed similar stability. The Total3 indicator, which tracks the market capitalization of cryptocurrencies excluding BTC and ETH, experienced a minor decline of less than 1%, remaining at approximately $713 billion.
Implications for Investors
The resilience of the crypto market in the face of tariff announcements suggests a potential shift in investor sentiment or a growing detachment from traditional market influences. As the situation evolves, the implications for both crypto and broader financial markets will require close monitoring.
This article was produced by NeonPulse.today using human and AI-assisted editorial processes, based on publicly available information. Content may be edited for clarity and style.
