Effective Tuesday, U.S. President Donald Trump's new global 10% tariffs have replaced existing surcharges and those stipulated in trade agreements, excluding sector-specific duties on items like automobiles, copper, and lumber. This measure, enacted following a Supreme Court ruling invalidating previous tariffs, is based on a 1974 law allowing the president to rebalance trade when significant payment balance disparities exist. The new tariffs, which do not apply to Canadian and Mexican goods under USMCA, are projected to raise the average effective tariff rate on imports to 13.7%. The administration must secure Congressional approval within 150 days to maintain these tariffs, which previously impacted over $130 billion in goods and were intended to address trade deficits and fund the federal government.