Supreme Court Signals Doubts Over Trump’s Tariffs Under Emergency Law

Overview

• After more than two hours of arguments on Nov. 5, questioning from conservatives and liberals cast doubt on the IEEPA rationale and on whether the measures encroach on Congress’s taxing power.
• Chief Justice John Roberts called the duties an imposition of taxes reserved to Congress, and Justice Neil Gorsuch signaled skepticism toward the administration’s interpretation.
• The tariffs remain in effect pending the Court’s decision, even after lower courts ruled earlier this year that the IEEPA-based duties exceeded presidential authority.
• A loss for the government could force refunds estimated at over $100 billion, with CBP previously reporting $89 billion in tariff collections tied to the program through late September.
• The White House says it is preparing a plan B, with aides exploring other laws such as Section 301 to reestablish tariffs if the IEEPA basis is struck down.