Trump threatens global tariffs, while Friederich Merz works on trade deal with China

Joachim-Friedrich Martin Josef Merz
(Photo source: Sandro Halank, Wikimedia Commons)

COGwriter

US President Donald Trump is upset that the Supreme Court struck down about 1/2 of his tariffs:

Trump signs 10% global tariff in bid to salvage trade agenda

February 21, 2026

President Donald Trump imposed a 10% global tariff on foreign goods, moving quickly to preserve his trade agenda after the US Supreme Court struck down many of the levies he imposed last year.

The tariff, which Trump ordered in a Friday directive, is set to take effect Feb. 24 at 12:01 a.m. Washington time, according to a fact sheet released by the White House.

“It is my Great Honor to have just signed, from the Oval Office, a Global 10% Tariff on all Countries, which will be effective almost immediately. Thank you for your attention to this matter!” Trump wrote in a social media post.

Trump is implementing the new baseline duty under Section 122 of the Trade Act of 1974, which grants the president unilateral ability to impose tariffs. But the untested legal provision puts a 150-day limit on how long the duties can remain in place.

The Supreme Court, in a 6-3 decision handed down earlier Friday, ruled that Trump’s use of a decades-old federal emergency-powers law to impose his so-called “reciprocal” tariffs was unlawful. Trump invoked the International Emergency Economic Powers Act last April to impose duties on dozens of US trading partners, ranging from 10% to 50%.

The justices invalidated those tariffs along with duties on goods from Canada, Mexico and China that Trump imposed in the name of addressing fentanyl trafficking. The ruling also casts doubt on separate IEEPA tariffs placed on goods from Brazil and India.

Along with the flat 10% rate, Trump said he would keep in place existing import taxes under Section 301 and Section 232 and signaled plans to undertake more trade investigations. https://finance.yahoo.com/news/trump-signs-10-global-tariff-020015128.html

Update 11:35 am PST: Donald Trump now says he decided on 15% tariffs:

February 21, 2026

One day after ‘The Supremes’ struck down his IEEPA tariffs, President Trump has announced, in a statement issued on Truth Social, that he will raise his new, global tariff to 15% (the maximum allowed under a separate trade law), a day after he took hiked global tariffs to 10% (in response to the SCOTUS ruling).

Trump further slammed the SCOTUS decision as “anti-American”…

“Based on a thorough, detailed, and complete review of the ridiculous, poorly written, and extraordinarily anti-American decision on Tariffs issued yesterday, after MANY months of contemplation, by the United States Supreme Court,

Then dropped the hammer…

“…please let this statement serve to represent that I, as President of the United States of America, will be, effective immediately, raising the 10% Worldwide Tariff on Countries, many of which have been “ripping” the U.S. off for decades, without retribution (until I came along!), to the fully allowed, and legally tested, 15% level.

With the policy taking effect immediately, Trump further signaled that he would press ahead with his trade war despite the major legal setback.

“During the next short number of months, the Trump Administration will determine and issue the new and legally permissible Tariffs

…which will continue our extraordinarily successful process of Making America Great Again – GREATER THAN EVER BEFORE!!! Thank you for your attention to this matter.”

Ironically, for those cheering yesterday’s court ruling, for some countries, President Trump’s new 15% tariff may actually be higher than the rates that previously applied to their exports to the US.

Trump is applying the new baseline tariff under Section 122 of the 1974 Trade Act, which allows the president to impose tariffs for 150 days without congressional approval. https://www.zerohedge.com/political/trump-hike-global-tariffs-15-blasts-ridiculous-anti-american-scotus-ruling

While Donald Trump continues to alienate trade with more tariffs, Germany’s Roman Catholic Chancellor, Friedrich Merz, is working to improve trade relations with China:

Friedrich Merz heads to China to reset strained trade relations

20 February 2026

German Chancellor Friedrich Merz will make his first visit to China next week, a few days after the start of the Chinese New Year, also known as Spring Festival.

“May the Year of the Horse bring strength and give new impetus to German-Chinese relations”, Merz wrote on X, adding he is looking forward to travelling to China soon.

The chancellor, who took office in May, announced his trip to China as he spoke at the congress of his conservative CDU party in Stuttgart.

“We need economic relations with the entire world, and that, of course, includes a country like China”, he said, stressing he will be going with “a large business delegation”.

“Foreign policy today is also foreign economic policy, and foreign economic policy is an essential part of our economic policy”, he added.

‘Right balance of cooperation’

Friedrich Merz will be received in Beijing on Wednesday by Premier Li Qiang and then meet with Chinese leader Xi Jinping. …

Germany has tried to maintain solid ties with China despite Beijing’s refusal to criticise the Russian invasion of Ukraine, while also seeking to avoid overreliance on Chinese trade. …

“Today, China is deliberately distancing itself from the United States and asserting its claim to define a new multilateral order according to its own rules,” Merz said. …

In his speech, Merz also observed that the traditional rules-based international system no longer exists, replaced by a rapidly emerging global order dominated by major powers.

To navigate this shift, he argued that Europe must bolster its economic and military capabilities while pursuing new trade partnerships worldwide. https://www.euronews.com/my-europe/2026/02/20/german-leader-friedrich-merz-will-visit-china-next-week-to-deepen-trade-and-cooperation

So, we see that the German leader wants Europe to strengthen its military while also pursuing new trade partnerships around the world.

Last month, Europe made a trade deal with India, the most populous nation in the world (see EU makes ‘mother of all deals’ with India–another step to become ‘Babylon the Great’ for trade?).

And here is some information about its deal with parts of South America:

20 February 2026

Despite resistance from France and a legal challenge, EU trade chief Maros Sefcovic says the bloc could implement its long-negotiated Mercosur agreement within months to boost exports and offset U.S. tariffs

The European Union is preparing to implement its contentious free trade agreement with the Mercosur bloc in the coming months, despite opposition from France and a pending legal challenge, EU Trade Commissioner Maros Sefcovic said on Friday.

The deal, covering Argentina, Brazil, Paraguay, and Uruguay, could eliminate around 4 billion euros ($4.7 billion) in duties on EU exports, making it the EU’s largest free trade agreement in terms of potential tariff reductions. Signed in January after 25 years of negotiations, the accord has strong backing from Germany and Spain but faces pushback from France, which worries that cheaper imports of commodities such as beef and sugar could hurt domestic farmers.

Last month, the European Parliament voted to challenge the agreement in the bloc’s top court, a move that could delay implementation by up to two years. However, the European Commission has the option to provisionally apply the deal sooner, a route Sefcovic indicated could be taken. https://www.tovima.com/world/eu-prepares-to-enforce-mercosur-trade-deal-amid-opposition/

Europe is also trying to make a deal with the Gulf states (see EU trying to make a trade deal with the Gulf States: A prelude to deals between the King of the North and the King of the South?).

And, at least partially because of statements and policies from the Donald Trump Administration, that Europe has been motivated for these deals, including Chancellor Merz’s plans for China.

 

Notice some items in my free eBook Unintended Consequences and Donald Trump’s Presidency: Is Donald Trump Fulfilling Biblical, Islamic, Greco-Roman Catholic, Buddhist, and other America-Related Prophecies?:

Donald Trump’s foreign policy statements have unsettled many—in the USA as well as foreign nations. …

The Bible teaches about a great power who will be destroyed by its friends, who become enemies (Lamentations 1:1-2)—some statements by Donald Trump are pushing “friends” (NATO allies) into being enemies. …

The Bible is clear that there will be problems in Europe (Daniel 11:41-43), yet it also shows that Europe will undergo several reorganizations (Revelation chapters 16-18), and the two reorganizations in Revelation 17:12-13 specifically will not turn out well for the USA (cf. Daniel 11:39) or the Arab world (cf. Daniel 11:40-43). …

Unintended Consequences

While Donald Trump seems to believe that his policies are best for the United States, notice some unintended consequences of them: …

Pushing tariffs and sanctions on other countries is contributing to the rise of the final time of the Gentiles (Luke 21:24; Ezekiel 7:24).Pushing tariffs and other policies that foreign nations do not like is contributing to other nations looking to bypass the USA dollar, as well as trade more with each other and less with the USA. This will further push various globalist’s moves forward without the USA. This is also helping set the stage for the coming European Babylonian Beast to dominate international trade. …Pushing against Europe’s unity is encouraging the Europeans, which are prophesied to have unity difficulties (cf. Daniel 2:41-43), to try harder to unify, which will happen after at least two reorganizations (Revelation 17:12-13).By breaking political norms and acting like a ‘strong man’ this will help Europeans being more accepting of their beast ‘strong man’ (Revelation 13:1-10; 17:13).Donald Trump’s statements will help promote the rise of stronger European leaders like Karl-Theodor zu Guttenberg.Although, overall, the European nations have not paid for their defense to the amount they have suggested they would, pressuring them to spend more will 1) encourage them to be independent of the USA and 2) put Europe in a position where it has a great army (Daniel 11:25), many ships (Daniel 11:40), and access to nuclear weapons (cf. Deuteronomy 29:23-25; Isaiah 9:19-21;Ezekiel 6:6), which will help it conquer the USA, which is the military power with the strongest fortresses (cf. Daniel 11:39).

[ii] Thiel B. Barack Obama, Prophecy, and the Destruction of the United States. Nazarene Books, 2013, pp. 67-48

Since the above was published, gold has set records in US dollar terms scores of times. And more countries are looking seriously about bypassing the US and its dollar because of tariffs, sanctions, and other economic issues.

Statements and policies by the Trump Administration have strained relations between the USA and other nations, as well as motivated the EU to make/finalize deals it has been hesitant to.

In December of 2025, I wrote the following in the article 26 items to prophetically watch in 2026:

For a time, Babylon will dominate world trade:

2 And he cried mightily with a loud voice, saying, “Babylon the great is fallen, is fallen, and has become a dwelling place of demons, a prison for every foul spirit, and a cage for every unclean and hated bird! 3 For all the nations have drunk of the wine of the wrath of her fornication, the kings of the earth have committed fornication with her, and the merchants of the earth have become rich through the abundance of her luxury.” (Revelation 18:2-3).

While ‘Babylon’ will not fully reign in 2026, with the USA pulling out of trade deals and/or wishing to change them, steps are occurring that are pushing Europe to dominate trade (watch Trade Wars: Are COG warnings coming to pass?).

Expect Europe to reach out to various Gentile nations in Asia, Africa, South America, and elsewhere to make trade deals.

The final time of the Gentiles is approaching. We are seeing BRICS, the Global South, the EU, and others working on ways to trade and not have to deal with the descendants of Ephraim (UK, Canada, Australia, and New Zealand) and Manasseh (the USA).

The Europeans will work with many nations to secure stronger trade agreements. …

On 2/27/25, Ursula von der Leyen went to India to push for closer trade ties for reasons including Donald Trump’s tariff pushing (https://www.dw.com/en/von-der-leyen-arrives-in-india-to-strengthen-partnership/a-71768504).

In order for Europe to become the dominate world trading ‘Babylon the Great’ power that the Bible points to, major trade deals around the world must be expected.

Last year, the Continuing Church of God put together the following video on our Bible News Prophecy YouTube channel discussing various views and scriptures about Donald Trump, Europe, and trade:

14:49

Trade Wars – and the Winner will be …

US President Trump imposed tariffs on a global scale. Those tariffs were imposed on friend and foe alike. It seems as if President Trump is no respecter of nations. But how will this work out for the United States? Will these tariffs result in other nations drawing closer together that have had rather cold, and even not so cold, relations in the past? Will global tariffs result in trade wars? Were the events which are happening predicted by any in the Continuing Church of God? Is Europe drawing closer to China? Is Europe drawing closer to Latin and South America? With the exception of a few of America’s allies, is the net result of these tariffs a worldwide scramble to create new alliances and new trading partners to the exclusion of the United States? What will be the future result of these new alliances? Many of the nations that are now seeking new alliances were just recently America’s allies. They were her friends. Dr. Thiel brings to light the fate of America and her allies at the hands of her former friends, as revealed in the book of Lamentations. As we rapidly approach the end times listen in as Dr. Thiel brings to light world events. Then listen as he shines the light of Bible prophecy directly on the questions raised from these world events.

Here is a link to our video: Trade Wars – and the Winner will be …

Church of God warnings on trade are coming to pass.

In the Continuing Church of God:

19 We have also a more sure word of prophecy; whereunto ye do well that ye take heed, as unto a light that shineth in a dark place, until the day dawn, and the day star arise in your hearts: (2 Peter 1:19, KJV)

We continue to see international affairs that are aligning with properly explained biblical prophecies.

The world will not remain as it has been.

The end-time Babylonian European Beast will rise up.

We are seeing steps right now.

Some items of possibly related interest may include:

Europa, the Beast, and Revelation Where did Europe get its name? What might Europe have to do with the Book of Revelation? What about “the Beast”? Is an emerging European power “the daughter of Babylon”? What is ahead for Europe? Here is are links to related videos: European history and the Bible, Europe In Prophecy, The End of European Babylon, and Can You Prove that the Beast to Come is European? Here is a link to a related sermon in the Spanish language: El Fin de la Babilonia Europea.
The European Union and the Seven Kings of Revelation 17 Could the European Union be the sixth king that now is, but is not? Here is a link to the related sermon video: European Union & 7 Kings of Revelation 17:10.
WTO and the Babylonian Beast Is world trade changing? Has Donald Trump affected it? Is Europe now taking steps that are pushing it towards being the end-time Babylonian Beast trading power that the Bible warns about? This article addresses those issues.Two other videos of related interest may be Trade Wars: Are COG warnings coming to pass? and Trade Disputes: CCOG Warnings Are Coming to Pass.
Unintended Consequences and Donald Trump’s Presidency: Is Donald Trump Fulfilling Biblical, Islamic, Greco-Roman Catholic, Buddhist, and other America-Related Prophecies?  Is Donald Trump going to save the USA or are there going to be many disastrous unintended consequences of his statements and policies? What will happen? This is a free eBook.
Lost Tribes and Prophecies: What will happen to Australia, the British Isles, Canada, Europe, New Zealand and the United States of America? Where did those people come from? Can you totally rely on DNA? What about other peoples? Do you really know what will happen to Europe and the English-speaking peoples? What about Africa, Asia, South America, and the Islands? This free online book provides scriptural, scientific, historical references, and commentary to address those matters. Here are links to related sermons: Lost tribes, the Bible, and DNA; Lost tribes, prophecies, and identifications; 11 Tribes, 144,000, and Multitudes; Israel, Jeremiah, Tea Tephi, and British Royalty; Gentile European Beast; Royal Succession, Samaria, and Prophecies; Asia, Islands, Latin America, Africa, and Armageddon;  When Will the End of the Age Come?Rise of the Prophesied King of the North; Christian Persecution from the Beast; WWIII and the Coming New World Order; and Woes, WWIV, and the Good News of the Kingdom of God.

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