New 10% U.S. Tariffs Take Effect Under 1974 Trade Act
The new 10 per cent global tariff rate imposed by U.S. President Donald Trump officially took effect on February 24, 2026, notably lower than the 15 per cent he threatened to implement over the weekend. The 10 per cent baseline tariff will remain in place for 150 days before further congressional approval is required.
Following the U.S. Supreme Court's ruling that all tariffs brought in by President Trump under the International Emergency Economic Powers Act (IEEPA) – including the ‘Liberation Day’ tariffs announced in April 2025 – were illegal, the U.S. President hastily signed an executive order under Section 122 of the U.S. Trade Act of 1974, enabling him to bypass Congress and impose a 10 per cent blanket tax on imports from around the world.
While he announced that he intends to raise the rate to 15 per cent, the tariffs came into effect under the 10 per cent rate, and will remain in place for a 150-day window. Any extension beyond that timeframe will require formal congressional approval.
For countries like Cambodia that have already signed trade deals with the United States, the picture is less clear on which of the tariff rates will apply. U.S. government trade representative, Jamieson Greer, stated on Fox News that he expects U.S. imports from countries like Cambodia and Malaysia to continue to be taxed at their negotiated rates of 19 per cent, with an understanding that these countries would continue to honour the signed deals.
However, according to reports from outlets like the BBC, a White House official confirmed that “countries which had negotiated individual tariffs would now face the global 10 per cent rate instead”.