Key Points
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Supreme Court ruled Trump lacked authority to impose sweeping global tariffs.
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Decision struck down tariffs issued under emergency powers law.
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Trump called the ruling deeply disappointing and vowed alternative action.
Washington, D.C.: The Supreme Court on Friday delivered a significant check on presidential trade powers, ruling that President Donald Trump does not have authority to impose sweeping global tariffs without congressional approval.
In a 6 to 3 decision written by Chief Justice John Roberts, the court found that the administration overstepped by using a 1977 emergency powers law to justify broad import taxes on nearly every trading partner.
“The Framers did not vest any part of the taxing power in the Executive Branch,” Roberts wrote in the majority opinion.
The ruling targets so called reciprocal tariffs that ranged as high as 34 percent on Chinese goods and established a 10 percent baseline on many other imports. Tariffs imposed under different statutes, including those on steel and aluminum, remain in place.
Trump responds sharply
Speaking hours after the decision, Trump called the ruling “deeply disappointing” and criticized members of the court.
“They're against anything that makes America strong, healthy and great again,” Trump said. He praised Justices Clarence Thomas, Samuel Alito and Brett Kavanaugh, who dissented from the ruling.
The president also signaled he may pursue alternative trade tools, including a temporary 10 percent global tariff under separate legal authority.
The legal battle
At the center of the case was the International Emergency Economic Powers Act, a 1977 law that allows presidents to regulate imports during national emergencies. The statute does not explicitly authorize tariffs, a gap the court’s majority said was decisive.
Lower courts had already ruled against the administration, and both sides asked the Supreme Court to settle the dispute. Conservative Justices Neil Gorsuch and Amy Coney Barrett joined Roberts and the court’s three liberal justices in the majority.
Justice Kavanaugh, writing in dissent, argued the tariffs were lawful based on “text, history, and precedent.”
Economic stakes remain high
The decision leaves unresolved whether companies that paid the tariffs will receive refunds, a question that could trigger years of litigation. Federal data shows the Treasury has collected more than $133 billion from the import taxes imposed under the emergency powers law.
Businesses including importers, manufacturers and a coalition of states led by Oregon had challenged the tariffs in court. Some companies have already lined up seeking reimbursement.
Markets reacted cautiously, with US stocks edging higher after the ruling, reflecting investor relief over reduced trade uncertainty.
What comes next
Trump indicated his administration is exploring other legal pathways to restore tariffs, though any new approach could face fresh court challenges.
The decision represents one of the most consequential judicial limits on executive trade authority in recent years and underscores the constitutional boundary between Congress and the White House on taxation powers.
