The US Supreme Court has ruled that many of Donald Trump's tariffs are illegal, striking down a key part of his economic agenda. In a 6-3 decision, the court found that the 1977 law used to justify the tariffs did not grant the president the authority to impose them during peacetime.
The ruling marks the first time the court has overruled a second-term policy of President Trump. The majority opinion stated that the power to levy tariffs belongs to Congress, not the executive branch, citing the Constitution's framers who gave Congress 'alone access to the pockets of the people'.
Following the decision, Trump announced plans to enact a new 10% global baseline tariff under Section 122 of the Trade Act of 1974, which allows temporary tariffs for 150 days. He also said the administration would launch investigations into unfair trading practices that could lead to permanent tariffs.
At a press conference, Trump called the justices who ruled against him 'a disgrace to the nation' but claimed the decision had actually strengthened presidential tariff authority. The court's dissent, led by Justice Brett Kavanaugh, argued the ruling was narrow and merely showed Trump used the wrong legal basis.
The ruling raises questions about whether the billions of dollars collected under the illegal tariffs must be refunded, though the court did not address that issue. The majority included Trump-appointed justices Neil Gorsuch and Amy Coney Barrett, along with Chief Justice John Roberts and the three liberal justices.
