US Supreme Court Strikes Down Trump's Sweeping Global Tariffs

US President Donald Trump Trade War Suffers Setback as Supreme Court Strikes Down Tariffs.

By Mpho Dube, Editor-in-Chief, The Azanian

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The US Supreme Court has struck down President Donald Trump's sweeping global tariffs, handing him a significant loss on a key economic agenda item.

The 6-3 decision centres on tariffs imposed under an emergency powers law, with the majority finding that the constitution gives Congress the power to impose taxes, including tariffs.

The tariffs, implemented in 2025, imposed significant charges on imports, and critics argued that Trump exceeded his authority.

The Supreme Court's ruling affirms earlier findings by lower courts that Trump's use of the International Emergency Economic Powers Act (IEEPA) to impose tariffs was illegal.

The decision doesn't impact sector-specific duties that Trump imposed on imports of steel, aluminum, and other goods. However, it could lead to refunds for businesses and consumers who paid the tariffs, potentially amounting to $100 billion or more.

The ruling has significant implications for global trade and the US economy. The tariffs had been estimated to have a $3 trillion economic impact over the next decade, and the Treasury had collected over $200 billion in duties.

Trump had argued that the tariffs were necessary to address unfair trade practices and protect US interests. However, opponents argued that the tariffs were a form of taxation without congressional approval.

The Supreme Court's decision is likely to lead to a re-evaluation of US trade policy and may prompt Trump to seek alternative avenues for imposing tariffs, such as through Congress or other laws.