Governments around the world reacted with caution after the US Supreme Court invalidated a set of broad emergency tariffs. The decision prompted a mix of responses, with some nations reaffirming existing agreements and others adopting a wait-and-see approach to evaluate the next steps from Washington.
South Korea announced that the ruling voids the 15% tariff currently applied to its goods, adding that it would continue talks on implementing a trade agreement finalized last year. Indonesia, which had just locked in a 19% duty on its exports to the US, stated it is closely monitoring the situation, particularly the administration’s subsequent move to impose a 10% global tariff under a different legal authority.
While the court’s decision primarily disrupts the domestic economic agenda, it also deals a blow to the frequent use of tariff threats as a tool of foreign policy. A key question now is whether the same level of immediate leverage can be maintained with slower and more limited tariff authorities.
In Europe, lawmakers will hold an emergency meeting to reassess the bloc’s pending trade deal with the US. “We’ll look closely at the consequences and adapt accordingly,” said the French president. “If that helps to pacify things, then that’s good. We need to focus on calming things at the international level.” An Italian official called the removal of tariffs “good news,” but doubted it would lead to major changes.
The United Kingdom, which had been given a lower 10% rate, stated it would work with the US administration to understand the ruling’s impact. A trade specialist noted that the UK’s main interests, such as cars and steel, were not affected by the decision, suggesting the government would likely say very little.
The US’s largest trading partners, Mexico and Canada, were spared from the new 10% global tariff, with an exemption for many goods shipped under their regional trade agreement remaining in place. Mexico’s president said her government would carefully review the resolution, while the economy minister called for prudence, noting that the vast majority of Mexican exports to the US are not subject to the affected tariffs.
Brazil’s vice president confirmed that negotiations with the US would continue, covering non-tariff issues like data centers and strategic minerals. He emphasized that his government has always defended dialogue. The leaders of Brazil and India discussed the ruling during a meeting, agreeing they needed to study its implications before considering any coordinated response.
China had no immediate reaction, as the news coincided with a major national holiday. On the same day as the court’s decision, plans were announced for a high-level meeting between the leaders of the world’s two largest economies in Beijing, aiming to maintain a trade truce struck the previous year.
