US Supreme Court Poised to Hand Down Ruling on Trump's Tariffs: What It Could Mean for the US Economy and Global Trade
The US Supreme Court is set to issue a ruling on President Donald Trump's tariffs this Friday, with many expecting the court to rule in favor of challenging the legality of the tariffs imposed by the administration. The decision comes amid growing concerns about the economic impact of the tariffs on sectors heavily exposed to trade.
President Trump has been vocal in his opposition to any negative outcome, stating that a ruling against him would be "a terrible blow" to the US economy and national security. However, data suggests that the tariffs have had mixed results, with the US GDP growing by 4.3 percent in the third quarter of 2025 but job growth slowing down, particularly in sectors heavily impacted by the tariffs.
The challenge to Trump's tariffs has been one of the most closely watched cases on the court's docket, with many legal experts predicting that the high court will uphold lower court decisions that found the administration exceeded its authority. The International Emergency Economic Powers Act (IEEPA) was invoked in February 2025 by President Trump to address a national emergency related to US trade deficits, but arguments challenging the legality of the decision began in November.
Justice Neil Gorsuch and Chief Justice John Roberts have expressed concerns about the use of the law, with Gorsuch stating that Congress can't get this power back once it's handed over to the president. In contrast, Solicitor General D John Sauer argued on behalf of the administration that imposing tariffs and taxes is always within the core power of Congress.
If the Trump administration were to lose the case, it would likely mean that the US would need to refund some of the tariffs, with Secretary of the Treasury Scott Bessent stating earlier this month that the US would "have to give a refund on about half the tariffs." The Trump administration has said it would use other statutes to push through tariffs if the court doesn't rule in its favor.
The outcome of this ruling will have significant implications for global trade, with many countries closely watching the decision and potentially taking action based on the US's position. As one law professor noted, "My sense is that given the different justices' concerns, the Supreme Court will decide that IEEPA does not provide the ability for the Trump administration to adopt the tariffs."
The US Supreme Court is set to issue a ruling on President Donald Trump's tariffs this Friday, with many expecting the court to rule in favor of challenging the legality of the tariffs imposed by the administration. The decision comes amid growing concerns about the economic impact of the tariffs on sectors heavily exposed to trade.
President Trump has been vocal in his opposition to any negative outcome, stating that a ruling against him would be "a terrible blow" to the US economy and national security. However, data suggests that the tariffs have had mixed results, with the US GDP growing by 4.3 percent in the third quarter of 2025 but job growth slowing down, particularly in sectors heavily impacted by the tariffs.
The challenge to Trump's tariffs has been one of the most closely watched cases on the court's docket, with many legal experts predicting that the high court will uphold lower court decisions that found the administration exceeded its authority. The International Emergency Economic Powers Act (IEEPA) was invoked in February 2025 by President Trump to address a national emergency related to US trade deficits, but arguments challenging the legality of the decision began in November.
Justice Neil Gorsuch and Chief Justice John Roberts have expressed concerns about the use of the law, with Gorsuch stating that Congress can't get this power back once it's handed over to the president. In contrast, Solicitor General D John Sauer argued on behalf of the administration that imposing tariffs and taxes is always within the core power of Congress.
If the Trump administration were to lose the case, it would likely mean that the US would need to refund some of the tariffs, with Secretary of the Treasury Scott Bessent stating earlier this month that the US would "have to give a refund on about half the tariffs." The Trump administration has said it would use other statutes to push through tariffs if the court doesn't rule in its favor.
The outcome of this ruling will have significant implications for global trade, with many countries closely watching the decision and potentially taking action based on the US's position. As one law professor noted, "My sense is that given the different justices' concerns, the Supreme Court will decide that IEEPA does not provide the ability for the Trump administration to adopt the tariffs."