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8h ago

Supreme Court Takes Up Trump’s Emergency Tariffs as Treasury Chief Plans ‘Front-Row’ Attendance

The case tests whether IEEPA’s authority to regulate imports includes tariffs, with huge revenue and separation-of-powers consequences.

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.
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Overview

  • Oral arguments begin Wednesday on the legality of President Trump’s IEEPA-based tariffs, with Trump skipping the session and Treasury Secretary Scott Bessent saying he will attend.
  • Neal Katyal is set to argue for challengers who contend the 1977 emergency law does not authorize broad duties, while the tariffs remain in force during the review.
  • Lower courts have ruled the president exceeded his authority under IEEPA, setting up a Supreme Court fight over whether “regulate” encompasses tariffs and how the major-questions doctrine applies.
  • Fiscal stakes are significant, with PwC estimating roughly $108 billion collected through October and potential refunds around $100 billion if the Court invalidates the IEEPA tariff scheme.
  • The administration signals contingency plans to shift to other trade statutes such as Sections 232, 301, 122 and 338 if IEEPA is curtailed, a path officials say could keep many tariffs in place.