The US Supreme Court has dealt a major setback to tariff measures introduced by Donald Trump, ruling that the administration exceeded its authority in imposing sweeping global import taxes. In a 6–3 decision, the court found that the White House overstepped powers granted under the 1977 International Emergency Economic Powers Act.
Writing for the majority, Chief Justice John Roberts said Congress only delegates tariff authority under clear and limited terms, and that broader powers would have required explicit legislation. The ruling is seen as a significant win for US states and businesses that challenged the duties, and it could open the door for billions of dollars in refunds for companies that paid the invalidated tariffs.
Despite the decision, Trump has announced a new 10% global tariff to replace the struck-down measures and signalled that alternative legal pathways will be pursued. The administration argues that tariffs help boost domestic manufacturing and investment, while critics warn they could raise prices and disrupt global trade.
The court’s decision has created uncertainty in international markets as businesses and trading partners assess the impact of shifting US tariff policies. Analysts say the ruling underscores constitutional limits on executive trade powers while setting the stage for further legal and political battles over trade measures.
