The new 10% global tariff is now in effect, but the real story is what comes next.
Following the U.S. Supreme Court’s decision that tariffs imposed under the International Emergency Economic Powers Act (IEEPA) were unlawful, the Trump administration moved quickly to implement a new tariff under Section 122 of the Trade Act of 1974. But this authority is temporary. Section 122 tariffs can only remain in place for 150 days and cannot exceed 15% without further action.
In other words, this is a bridge – not a long-term policy.
A New, More Durable Framework Is Already Taking Shape
Earlier this month, the administration launched broad Section 301 investigations into structural overcapacity and other trade practices across dozens of countries. These inquiries are expected to serve as the foundation for more permanent tariff measures later this year.
At the same time, Section 232 tariffs on steel and aluminum remain unchanged, and the investigation into robotics and industrial machinery continues with no timeline for completion. This moment is not a rollback of tariffs – it’s a transition to a new framework.
The Real Challenge: Policy Whiplash
For manufacturing technology companies, the challenge isn’t just the tariff rate. It’s the pace of change and the uncertainty around where policy ultimately lands.
In recent months, companies have had to navigate shifting legal authorities, overlapping tariff regimes, and evolving enforcement – while still trying to make long-term investment decisions. That kind of volatility makes it harder to plan, harder to price, and harder to compete.
The stakes for our industry are especially high. The machine tools, automation systems, and advanced technologies needed to build domestic manufacturing capacity are the very products caught in the middle of these actions. If the goal is to strengthen U.S. manufacturing, we must ensure we are not making it more difficult or more expensive to invest in the very technologies that enable that growth.
Tariffs Alone Won’t Get Us There
AMT – The Association For Manufacturing Technology fully supports the goal of rebuilding and expanding domestic manufacturing capabilities. But tariffs alone will not achieve that.
Our message to policymakers remains clear: Manufacturers need a stable, predictable policy environment – paired with incentives that support investment in advanced technologies, workforce development, and production capacity here in the United States.
The Bottom Line
The tools matter. But just as important is how they’re applied.
Manufacturers don’t just respond to tariff levels. They respond to certainty. Right now, certainty remains in short supply.
