Indian-American attorney Neal Katyal has strongly criticisedUS President Donald Trumpover his decision to impose a 15% global tariff, arguing that the President does not have the authority to sidestep Congress in matters of taxation. Katyal said that if Trump genuinely believes the tariff is justified, he must pursue it through constitutional channels.His comments came shortly after the Supreme Court of the United States struck down most of Trump’s earlier tariff measures in a 6–3 ruling. The Court held that the administration had exceeded its powers under the International Emergency Economic Powers Act (IEEPA), reaffirming that the authority to levy taxes rests primarily with Congress.

Katyal, who recently secured a major legal victory challenging Trump’s previous trade actions, also raised concerns about the legal grounds for the new 15% tariffs under the Trade Act of 1974, specifically Section 122. He noted that the Department of Justice had earlier informed the Court that Section 122 was not intended to address trade deficits, which differ from balance-of-payments deficits.

In a post on X, he wrote, "Seems hard for the President to rely on the 15 percent statute (sec 122) when his DOJ in our case told the Court the opposite: Nor does [122] have any obvious application here, where the concerns the President identified in declaring an emergency arise from trade deficits, which are conceptually distinct from balance-of-payments deficits."

Katyal added, "If he wants sweeping tariffs, he should do the American thing and go to Congress. If his tariffs are such a good idea, he should have no problem persuading Congress. That's what our Constitution requires."

The remarks came as Trump moved swiftly to roll out fresh tariffs following the court’s decision. He initially announced a 10% global levy under Section 122, invoking a temporary surcharge provision that can remain in place for up to 150 days. Shortly afterward, he increased the rate to what he described as the “fully allowed, and legally tested” 15%.

Taking to Truth Social, Trump blasted the Supreme Court’s ruling as “extraordinarily anti-American,” defending his decision to escalate the tariff despite the legal setback.

Economist and former First Deputy Managing Director of the International Monetary Fund, Gita Gopinath, also backed Katyal’s assessment in a post on X. She emphasised that trade deficits and balance-of-payments deficits are distinct concepts and should not be treated as interchangeable in legal or policy arguments.

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Megha Rawat is an Assistant News Editor at Times Now, where she drives the national news narrative with sharp political reporting, election coverage a...View More

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