by A1 WorldWide Logistics | Feb 26, 2026 | Economic trends, Importing, Tariffs
The international shipping industry could still feel the effects of levies, with President Trump imposing Section 122 tariffs. On February 20, the Supreme Court ruled against Trump’s tariffs imposed under the International Emergency Powers Act (IEEPA). Following the ruling, the president announced levies under Section 122 of the Trade Act of 1974. Section 122 allows for the temporary levies of up to 15% for a period of 150 days. Trump originally announced he would raise tariffs to 15%; however, they began at 10% on February 24. This article explains Trump’s goal in imposing Section 122 tariffs and what they could mean for the shipping industry.
Why Is Trump Imposing Section 122 Tariffs?
Along with the issuing of Section 122 tariffs as a response to the Supreme Court’s decision, President Trump’s goal is to address trade imbalances. Imposing a 10% tariff is Trump’s way of “level the field” to reduce trade deficits. The Trump Administration argued that rising imports and growing trade gaps justify the levies to boost the economy. Another reason for the Section 122 tariffs is to be used as temporary leverage in trade talks. Similar to the IEEPA levies, Trump is pressuring trading partners to revisit trading terms and create more favorable US deals. The tariffs are part of an economic strategy to bring manufacturing back to the US and boost the economy.
What Can The Shipping Industry Expect With Levies Continuing?
With levies continuing, shippers may expect certain US imports to remain more expensive. Certain levies, including a Section 232 tariff on imports such as steel, aluminum, and vehicles, also remain in effect. With the court ruling that IEEPA tariffs are unlawful, importers could be entitled to refunds. However, the Supreme Court has yet to provide any guidelines. It is essential to understand that specific goods imported during the transition window will be exempt from the 10% surcharge. More specifically, the exemption applies to goods loaded on a vessel or in transit before 12:01 on February 24. Goods that entered the US for consumption before February 28 will also be exempt from Section 122 tariffs.
With tariffs for importing still in place, shippers should take precautions when importing into the US. Failure to take precautions can result in delays, financial losses, and cargo loss. Disruptions can be especially unfavorable if the importer is a business with customers. In addition to staying current with tariffs and regulations, speaking with a 3PL (third-party logistics) provider is ideal before starting. 3PL’s are service providers that assist with various aspects of the supply chain. These can include customs clearance, freight forwarding, domestic shipping, warehousing, and more. 3PLs also provide consultation services to navigate issues such as tariffs. Contact A1 Worldwide Logistics at info@a1wwl.com or 305-425-9456 to begin moving your cargo to the final destination.
by A1 WorldWide Logistics | Feb 20, 2026 | Economic trends, Supply Chain, Tariffs
The Supreme Court ruled against Trump’s tariffs imposed under the International Emergency Powers Act (IEEPA) in a landmark decision. In April 2025, President Trump issued sweeping reciprocal tariffs on all countries importing into the US. Months after the announcement, an appeals court ruled that Trump’s tariffs were illegal in a 7-4 decision. Following the decision, the Supreme Court announced that it would hear the case, and an oral announcement began in November 2025. Due to the case’s significance, the court justices agreed to decide it on an expedited timeline. On February 20, 2026, the Supreme Court ruled that Trump exceeded his authority in imposing levies.
Why The Supreme Court Ruled Against Trump’s Tariffs.
In a 6-3 decision, the Supreme Court justices concluded that Trump could not rely on the IEEPA to impose levies. The belief is that the president cannot impose broad tariffs without definite congressional approval. This affirmation reaffirms that the power to levy taxes lies with Congress. The Trump Administration’s original argument for the levies was to address unfair practices by trading partners and boost the economy. Economists believed it would have a negative effect, hurting the economy by creating inflation. Although reciprocal tariffs issued under the IEEPA were struck down, others issued by Trump under separate laws remain. The president could also use other legal authority to reimpose tariffs.
Trump Response to Supreme Court Tariff Ruling
President Trump’s immediate response was to disapprove of the ruling and express disappointment with the justices. Trump further announced a 10% global tariff under a different legal authority (Section 122 of the Trade Act of 1974). Section 122 replaces the invalidated tariffs for up to 150 days. There is a potential that the Trump Administration may also impose Section 338 of the Tariff Act of 1930. This act allows the president to impose tariffs up to 50% on imports from countries that “discriminate” against the US.
What Can This Mean For Shipping?
Given the volume of goods entering the US, the Supreme Court’s decision will significantly impact shippers. Importing into the US could become less expensive, leading to more goods entering the country. Despite the removal of tariff pressure on international shipping, uncertainty remains in the industry. With the court declaring the tariffs unlawful, importers could be entitled to refunds. Even if refunds happen, only those who meet strict deadlines and compliance protocols may be eligible. We Pay The Tariff, a coalition of 800 small businesses, has begun demanding refunds, launching a national sign-on letter to the Trump Administration and Congress for “full, fast, and automatic” tariff refunds. Currently The Supreme Court does not provide specific guidance for a refund process.
by A1 WorldWide Logistics | Feb 12, 2026 | Economic trends, Importing, Tariffs
A recent trade agreement will result in the US lowering Bangladesh tariffs to 19%. On February 9, American adviser Jamieson Greer met with Bangladesh advisor Sheikh Uddin to sign the Agreement on Reciprocal Trade. In addition to lowering the levy from 20% to 19%, certain textiles and apparel products will enter the US duty-free. These goods include US-sourced cotton and manufactured fibers. The agreement will also expand market access between the two countries, particularly for American industrial and agricultural products. This will cover goods ranging from machinery and communication equipment to dairy and beef products. With the ongoing international trade war over the last year, the news is a relief.
Why Is The US Lowering Bangladesh Tariffs and Finalizing A Trade Agreement?
The US and Bangladesh have reached a trade deal for various purposes, including strengthening bilateral trade ties. Lowering tariffs and offering duty-free importing for apparel made with US material will expand Bangladesh importers’ access to US markets. The access will increase trade flows between the two countries and strengthen economic ties. Another goal of the trade agreement is to support Bangladesh’s garment sector, which relies on exports. Lower and duty-free tariffs on imports like garments made from US cotton will benefit American retailers and help sustain orders. On a broader scale, the US has been negotiating with Bangladesh and other countries over the past year to reduce trade frictions caused by tariffs and strengthen trade relationships.
What Can This Mean For Shipping?
The Agreement on Reciprocal Trade between Bangladesh and the US could significantly impact international shipping. Both countries may benefit from increased cargo imports and exports, as well as access to each other’s markets. The US has been making similar deals with countries such as India for greater bilateral cooperation. A hope is that the US will continue to negotiate trade agreements that benefit importers and exporters. Supply chains that import from Bangladesh could also benefit from lower import costs, which in turn reduce costs for other components, such as domestic shipping.
As tariffs on imports from Bangladesh decline, it will be more beneficial for importers bringing goods into the US. It is still essential that the shipper take the necessary steps to avoid delays that could result in financial losses. To prevent shipping disruptions, it can be beneficial to consult a freight forwarder, such as A1 Worldwide Logistics. A forwarder is a person or company that acts as a middleman between the shipper and the carrier. They do this by offering a range of solutions, including providing documentation, customs clearance, warehousing, and consulting services. Speak to our forwarders at info@a1wwl.com or 305-423-9456 to begin moving your goods anywhere internationally.
by A1 WorldWide Logistics | Feb 5, 2026 | Economic trends, Importing, Tariffs
The US and India reach a trade deal following a call between President Trump and Indian Prime Minister Narendra Modi. On Monday, February 2, Trump announced that he will lower tariffs on imports from India to 18%. Originally, he imposed levies ranging from 25% to 50%. Trump’s announcement comes a few days after India signed a trade deal with the EU (European Union). The deal will also have India purchasing $500 billion in US products, including energy, technology, agriculture, and other products. Given the volume of goods the two countries ship to each other, the deal may be significant for international shipping.
Why Did Trump Impose And Cut The Tariffs On India?
Trump’s original reason for imposing a 25% tariff on India was due to its purchase of oil from Russia. Before that, Trump also imposed Section 232 duties on steel and aluminum and IEEPA reciprocal tariffs, raising taxes to 50%. On February 2, Trump reduced the reciprocal tariffs to 18% and fully removed the levies on Russian oil. A primary reason is to strengthen bilateral cooperation between the two countries and increase India’s investment in US products. Narendra Modi noted that the deal will lead to “immense opportunities for mutually beneficial cooperation.” Trump has also indicated a potential future agreement under which India increases its reliance on US crude oil rather than on rivals such as Russia and Iran.
How Will The Shipping Industry Be Impacted As The US And India Reach A Trade Deal?
Given the volume of goods traded between the two countries, the new deal will significantly benefit international shipping. India is a major importer of metals and pharmaceuticals from the US, and lower tariffs can increase imports. Less trade friction will give India better access to US markets and vice versa. An increase in imports will also benefit domestic shipping, including drayage for transporting cargo to and from ports. The US has reached similar trade deals with countries in the EU (European Union) and South Korea. A hope is that the US will continue negotiating trade deals with other countries, leading to lower tariffs.
Despite lower taxes potentially reducing import costs from India, shippers should still exercise caution when starting. Failure to be prepared can cause disruptions, including customs delays, resulting in financial losses. Disruptions can be especially detrimental if the importer is a business with customers who expect their products. Shippers can prepare by contacting a 3PL (third-party logistics) provider before starting. A 3PL is a company that handles various supply chain functions for a client. These may include customs clearance, freight forwarding, domestic shipping, warehousing, and more. Contact A1 Worldwide Logistics at info@a1wwl.com or 305-425-9456 to learn about our 3PL solutions for your shipment’s success.
by A1 WorldWide Logistics | Jan 28, 2026 | Economic trends, Importing, Tariffs
A recent announcement could result in President Trump raising South Korea tariffs to 25%. In a January 26 social media post, Trump threatened to increase South Korea’s import levies from 15% to 25%. The president further stated that the increase will apply to imports, including automobiles, lumber, and pharmaceutical products. Goods subject to Trump’s original baseline reciprocal tariffs will also be affected by the duties. The US initially lowered tariffs on South Korean goods from 25% to 15% as part of a trade deal in July 2025. South Korean officials were caught off guard by the announcement and are planning to speak with the US about the issue.
Why Is Trump Raising Tariffs on South Korean Imports?
President Trump’s primary reason for raising tariffs on South Korea is its failure to ratify a trade deal. In 2025, both countries agreed on a trade and investment framework valued at approximately $350 billion. The deal included the US lowering tariffs on specific Korean imports and South Korea investing in certain US industries. President Trump is increasing levies due to South Korea’s delay in implementing their part of the deal. On a social media post, Trump noted, “South Korea’s Legislature is not living up to its deal with the United States.” The goal is to use tariffs as leverage between Korea and other trade partners.
How Can Shippers Be Affected By Trump Raising South Korea Tariffs?
Since South Korea is a major US trading partner, a tariff increase will significantly impact US trade. Imports into the US from Korea could see a price increase, which will fall on other supply chain parts. In particular, the automobile and pharmaceutical industries will face higher costs. Despite Korea’s plans to “respond calmly,” if it does impose retaliatory tariffs, the cost could rise further. Shippers may begin sourcing from other countries or bring sourcing back to the US. Domestic shipping will also be affected, with drayage services potentially increasing import pickup costs.
With the tariff war ongoing, it is essential to ensure a successful shipment. Failure to prepare can lead to delays and financial losses, which is especially harmful if the importer has customers. An ideal way to prepare is by contacting a freight forwarder. Forwarders act as intermediaries between the shipper and the carrier, coordinating cargo movement on the shipper’s behalf. They do this by offering a range of solutions, including paperwork, customs clearance, warehousing, and more. Forwarders also provide consultation services to help navigate issues such as tariffs. Reach A1 Worldwide Logistics at Info@a1wwl.com or 305-425-9456 to speak to our brokers regarding your shipment’s success.
by A1 WorldWide Logistics | Jan 15, 2026 | Economic trends, Importing, Tariffs
A recent announcement has President Trump threatening a new 25% Tariff on Iran’s trading partners. On January 12, the President announced the levies on a social media post. Notable countries that the tariff could affect include India, China, the United Arab Emirates, Turkey, and others. Although the White House has not published final guidelines, Trump noted that the decision was “final and conclusive”. With the Supreme Court currently examining the legality of other tariffs issued by Trump, this announcement further heightens uncertainty.
Why Is Trump Threatening A New 25% Tariff on Iran’s Trading Partners?
The primary reason for the 25% tariff is ongoing geopolitical tensions. Ongoing protests in Iran resulted in casualties of over 2000 people, and the tariff is a pressure against it. Trump recently stated, “If Tehran violently kills peaceful protesters, they will come to their rescue.” The president issued similar “secondary tariffs” last year for countries that buy oil from Venezuela. Trump’s goal is to coerce countries engaging with the Iranian economy to reconsider their ties amid the ongoing anti-government protests. Along with the levies, Trump has also talked about the idea of taking military action against Iran.
Could This Tariff Affect Your Shipment?
Iran’s trading partners that import into the US could face a primary impact if Trump enforces the tariffs. One of the most significant US importers and trading partners of Iran is China. Given the volume of goods coming from China, a tariff could increase import costs for shippers. China has already threatened retaliatory measures in response to Trump’s announcement. The spokesperson for the Chinese embassy in Washington, Liu Pengyu, noted, “Beijing would take all necessary measures to safeguard its legitimate rights and interests.” US importers could soon have to choose between American markets and economic engagement with Iran.
Regardless of whether Trump enforces the tariffs, international cargo movement should not be halted. Shippers should, however, take the proper steps to protect their cargo from disruptions. One way to prepare in advance is to speak with a freight forwarder, such as A1 Worldwide Logistics. Forwarders are companies or individuals that coordinate freight movement on behalf of the shipper. They do this by providing services like cargo transport, international and domestic shipping, customs clearance, warehousing, and more. Speak to our forwarders at info@a1wwl.com or 305-425-9456 to begin moving your shipment to its final destination.
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