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US Supreme Court Strikes Down Trump’s Global Tariffs

In a 6–3 ruling, the top court says sweeping import duties lacked clear congressional approval, reshaping America’s trade policy landscape.

Former US president Donald Trump | AP
Summary
  • The Supreme Court of the United States, in a 6–3 ruling, struck down former President Donald Trump’s sweeping global tariffs, holding that they exceeded executive authority.

  • The Court said the administration failed to show clear congressional authorization under emergency economic powers laws, reinforcing Congress’s primary role in regulating trade.

  • The decision affects broad country-wide tariffs but leaves industry-specific duties (such as steel and aluminium imposed under separate legislation) untouched.

In a significant blow to former President Donald Trump’s trade agenda, the Supreme Court of the United States has ruled that a series of sweeping global tariffs imposed during his administration were unlawful.

Delivering a 6–3 verdict, the Court held that the tariffs exceeded the authority granted to the executive branch under federal law. Chief Justice John Roberts, writing for the majority, emphasized that while the president holds certain powers in matters of foreign trade, such authority must stem from clear congressional authorization.

“The president asserts the extraordinary power to unilaterally impose tariffs of unlimited amount, duration, and scope,” Roberts wrote, adding that such broad authority requires explicit approval from Congress something the Court found lacking in this case.

At the heart of the dispute was the administration’s reliance on the International Emergency Economic Powers Act (IEEPA) of 1977. The law permits the president to regulate economic transactions during a declared national emergency. Trump invoked it to justify tariffs ranging from 10% to 50% on goods from multiple countries, arguing that trade deficits and drug trafficking constituted extraordinary threats to national security.

However, the Court ruled that the statute did not provide sufficient grounds for the sweeping measures imposed. In doing so, it reaffirmed Congress’s constitutional role in regulating commerce and signaled limits to the executive branch’s ability to reshape trade policy through emergency powers alone.

Notably, the ruling does not affect certain industry-specific tariffs, including those on steel, aluminium, lumber, and automobiles, which were imposed under Section 232 of the Trade Expansion Act of 1962 on national security grounds.

The judgment is expected to reverberate across global markets. Economies and corporations impacted by the tariffs may now reassess trade strategies and potential financial claims. Trump had previously warned that an adverse ruling could expose the United States to repayments amounting to hundreds of billions, possibly even trillions, of dollars.

President Trump told reporters on Friday that he was considering a limited military strike to pressure Iran into a deal.“I guess I can say I am considering that,” he said at the start of a meeting with governors at the White House. The Times has reported that Trump is weighing various options to

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Beyond its economic implications, the decision represents a pivotal moment in the ongoing debate over the separation of powers in the United States. By drawing a firm line around executive authority, the Supreme Court has reshaped the contours of presidential power in trade policy, with consequences likely to extend far beyond this single case.

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