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3h ago

Supreme Court Takes Up Challenge to Trump’s Emergency Tariffs

The case will decide whether a 1977 emergency law lets a president impose tariffs without explicit congressional approval.

A view of the U.S. Supreme Court in Washington, U.S. June 29, 2024. REUTERS/Kevin Mohatt
Shipping containers line the Ever Most cargo vessel docked at the Port of Oakland on April 3, 2025. Two federal courts have ruled Trump's tariffs illegal, but they remain in effect while the case is before the Supreme Court, with a ruling due by next June.

Overview

  • The justices will hear consolidated challenges on Wednesday, and the IEEPA-based tariffs remain in force under stays despite lower-court rulings against the administration.
  • The core dispute turns on whether IEEPA’s authority to “regulate importation” extends to broad, revenue-generating duties, with potential application of the court’s major-questions doctrine and foreign-affairs deference.
  • A divided Federal Circuit ruled 7–4 that the tariffs exceed statutory authority, while Judge Richard Taranto’s dissent backing the administration now anchors key arguments cited by the solicitor general.
  • Businesses and several states say the duties function as taxes borne by Americans and seek potential refunds, while the Justice Department defends them as regulatory measures targeting foreign threats.
  • Treasury Secretary Scott Bessent plans to attend arguments, and officials signal fallback options under other trade laws, including Sections 232, 301 and 338, if IEEPA is curtailed.