TEXTILES.ORG
U.S. President Donald Trump has imposed a 15% tariff on all countries, effective Feb. 24. This follows the Supreme Court’s Feb. 20 ruling that the country-specific tariffs imposed by the president under the International Emergency Economic Powers Act (IEEPA) in 2025 were illegal.
The day of the court’s ruling, the president issued a proclamation imposing a 10% global tariff (with some exceptions) under Section 122 of the Trade Act of 1974. This law allows the president to impose duties of up to 15% for 150 days “in situations of fundamental international payments problems.”
The next day—Feb. 21—President Trump released a statement on social media announcing he would raise the tariffs to 15%. Under Section 122 of the Trade Act of 1974, these duties will remain in effect through July 24, 2026, unless the proclamation is suspended, modified or terminated, or extended by Congress.
What we know
- Products allowed duty-free entry include qualifying trade under both the U.S.-Mexico-Canada Agreement and the Central America-Dominican Republic-U.S. Free Trade Agreement for all textile and apparel goods.
- Tariffs on de minimis imports will continue to be collected.
- The White House is working on using various existing authorities to extend these new tariffs beyond the 150-day period allowed under Section 122.
Lower courts will have to sort out whether rebates will be provided to entities that paid previously collected IEEPA duties. Additionally, it is unclear how the administration will handle duties on countries that negotiated bilateral trade agreements with the U.S. as a result of the IEEPA tariffs levied at the beginning of 2025.
Advanced Textiles Association will continue to monitor proclamations such as these and other developments that affect members of the textile industry.