Kathmandu. The Supreme Court’s decision to impose heavy tariffs on US President Donald Trump has increased uncertainty in the international trade sector.

However, in the initial reaction, Asian financial markets appeared relatively calm, with many indices rising.

Friday’s ruling sets out a legal challenge to Trump’s April 2025 sweeping tariffs on dozens of countries. The decision is expected to affect the agreements reached in the trade talks since then. Countries such as China and South Korea are now waiting for Washington’s next move.

China’s commerce ministry said it was carrying out a “detailed assessment” of tariffs imposed under the International Emergency Economic Powers Act (IEPA). A State Department spokesperson called on the US to “eliminate unilateral tariffs on trading partners”. “There is no winner-take-all in the trade war,” Xinhua news agency quoted Beijing as saying the measures violate not only international economic rules but also US domestic law.

Shortly after the ruling, Trump used an alternative legal provision to propose a 10% global tariff under Section 122 of the 1974 Trade Act. He later indicated that it would increase to 15 percent. While this could provide some relief for China and some Asian exporters, it is expected to raise tariff rates for Japan, Britain and other US allies.

U.S. Trade Representative Jamison Grier told CBS News in an interview that the U.S. remains committed to the deal, and hopes partners will do the same. “The agreements have not been made on the basis of increasing or decreasing emergency taxes,” he said, adding, “So far, no one has said that the agreement has been broken, everyone wants to see the process.” ”

South Korea’s Trade Minister Kim Jong-kwan said the new tariffs would deepen if the new tariffs were imposed under an alternative law. He said there were “cordial” discussions with US officials to minimise the negative impact on South Korean companies. Major export sectors such as automobiles and steel are already under the tax bracket under other trade laws. “Given the uncertainty of future US tariff measures, the public and private sectors should work together to strengthen export competitiveness and diversify markets,” he said.

U.S. Treasury Secretary Scott Besant also expressed confidence that the existing agreements would remain in place. He said that the revenue from the new 15 percent global tax will remain constant. “We will abide by the court’s order,” he said, adding that the issue of returning the tax collected under the illegal tax would depend on the court’s decision.

On the market side, U.S. futures were down 0.6% in early trading on Monday — the S&P 500 contracts were down 0.6% and the Dow Jones Industrial Average was down 0.6%. It fell by 5 percent. The U.S. dollar weakened against the Japanese yen and the euro as oil prices fell. But Asian markets were positive, with Hong Kong’s Hang Seng rising 2.4 per cent.