Supreme Court Invalidates Trump’s Global Tariffs, Limits Use of Emergency Powers

WASHINGTON– The U.S. Supreme Court on Friday struck down most of President Donald Trump’s sweeping global tariffs, ruling that he lacked legal authority under a 1977 emergency statute to impose broad import levies on America’s trading partners, including India.

In a 6–3 decision, the conservative-led court ruled that Trump exceeded his executive powers by relying on the International Emergency Economic Powers Act to reshape U.S. trade policy. The decision marks a rare instance in which the court curtailed Trump’s use of presidential authority and dealt a significant blow to a central pillar of his economic agenda.

Writing for the majority, Chief Justice John Roberts said the president’s interpretation of the law went far beyond what Congress intended. “The President asserts the extraordinary power to unilaterally impose tariffs of unlimited amount, duration, and scope,” Roberts wrote. “In light of the breadth, history, and constitutional context of that asserted authority, he must identify clear congressional authorization to exercise it.”

Roberts said the 1977 statute relied upon by Trump “falls short” of providing the necessary congressional approval to impose wide-ranging tariffs.

The court ruled that the emergency economic powers law does not authorize a president to levy tariffs, rejecting Trump’s expanded use of the statute, which allows regulation of imports only in response to an “unusual and extraordinary” foreign threat during a national emergency.

“We claim no special competence in matters of economics or foreign affairs,” Roberts wrote. “We claim only, as we must, the limited role assigned to us by Article III of the Constitution. Fulfilling that role, we hold that IEEPA does not authorize the President to impose tariffs.”

Trump had declared national emergencies tied to fentanyl trafficking and trade imbalances to justify tariffs on a wide range of countries, including Canada, China, and Mexico, and to impose so-called reciprocal tariffs on dozens of trading partners. India was subject to an 18 percent tariff under the policy.

The ruling noted that Trump was the first president in the nearly 50-year history of the statute to attempt to use it as a basis for imposing tariffs. The court emphasized that the law has traditionally been used to impose sanctions, not to enact broad-based trade duties.

Sector-specific tariffs imposed under separate legal authorities, including those on steel, aluminium, and copper, were not challenged in the case and remain in force.

The decision is expected to prompt companies to seek reimbursement for billions of dollars in tariffs already paid. In the lead-up to the ruling, hundreds of companies across multiple industries filed lawsuits to preserve their claims, arguing that the duties were unlawfully imposed.

While the ruling represents a major setback for the administration, the court noted that Congress retains clear constitutional authority over tariffs. The president could also attempt to justify new duties under other existing trade laws.

Enacted in 1977, the International Emergency Economic Powers Act was designed to give presidents tools to respond to extraordinary foreign threats. The Supreme Court’s decision now sharply limits its use as a vehicle for sweeping trade action, reinforcing congressional control over tariff policy. (Source: IANS)