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The U.S. Supreme Court on Friday ruled, in a 6-3 decision, that President Donald Trump exceeded his authority when imposing sweeping tariffs under the International Emergency Economic Powers Act, a 1977 law reserved for national emergencies.

The U.S. Supreme Court on Friday ruled, in a 6-3 decision, that President Donald Trump exceeded his authority when imposing sweeping tariffs under the International Emergency Economic Powers Act, a 1977 law reserved for national emergencies.

Chief Justice John Roberts wrote the majority opinion, stating that the law does not clearly authorize the president to impose tariffs of unlimited amount, duration and scope. Justices Clarence Thomas, Samuel Alito and Brett Kavanaugh dissented.

Chief Justice John Roberts wrote the majority opinion, stating that the law does not clearly authorize the president to impose tariffs of unlimited amount, duration and scope. Justices Clarence Thomas, Samuel Alito and Brett Kavanaugh dissented.

The ruling invalidates tariffs Trump imposed on Canada, China and Mexico in what he said was an effort to stop illegal drugs, as well as reciprocal tariffs on most countries announced on April 2, which <a target="_blank" rel="noopener noreferrer nofollow" href="https://www.verity.news/story/2025/trump-set-to-unveil-major-tariff-plan-on-liberation-day">Trump labeled "Liberation Day."</a>

The ruling invalidates tariffs Trump imposed on Canada, China and Mexico in what he said was an effort to stop illegal drugs, as well as reciprocal tariffs on most countries announced on April 2, which Trump labeled "Liberation Day."

The decision does not affect tariffs imposed under other laws, including industry-specific steel, aluminum, lumber and automotive tariffs implemented under Section 232 of the Trade Expansion Act of 1962, which cited national security concerns.

The decision does not affect tariffs imposed under other laws, including industry-specific steel, aluminum, lumber and automotive tariffs implemented under Section 232 of the Trade Expansion Act of 1962, which cited national security concerns.

According to United States Customs and Border Protection data, as of Dec. 14, the federal government had collected $134 billion in revenue from the challenged tariffs from over 301,000 importers.

Erica York

According to United States Customs and Border Protection data, as of Dec. 14, the federal government had collected $134 billion in revenue from the challenged tariffs from over 301,000 importers.

U.S. stocks rose following the decision — the S&amp;P 500 initially jumped 0.5%, and the Nasdaq rose by 0.6% — while the U.S. dollar strengthened against other currencies.

U.S. stocks rose following the decision — the S&P 500 initially jumped 0.5%, and the Nasdaq rose by 0.6% — while the U.S. dollar strengthened against other currencies.

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U.S. stocks rose following the decision; the S&amp;P 500 jumped 0.5%, and the Nasdaq soared 0.6%, while the U.S. dollar strengthened against other currencies.

U.S. stocks rose following the decision; the S&P 500 jumped 0.5%, and the Nasdaq soared 0.6%, while the U.S. dollar strengthened against other currencies.

The ruling creates massive uncertainty for businesses and threatens trade deals worth trillions of dollars that have already been negotiated with multiple nations. The refund process for billions in collected tariffs will be a complete mess, and the decision does nothing to address the underlying trade imbalances and fentanyl crisis that necessitated action in the first place.

The ruling creates massive uncertainty for businesses and threatens trade deals worth trillions of dollars that have already been negotiated with multiple nations. The refund process for billions in collected tariffs will be a complete mess, and the decision does nothing to address the underlying trade imbalances and fentanyl crisis that necessitated action in the first place.

Trump abused emergency powers meant for genuine national crises to impose illegal tariffs that never had constitutional authority. This wasn't a legitimate trade policy but rather a pointless and unlawful overreach that's now been exposed and struck down by the courts.

Trump abused emergency powers meant for genuine national crises to impose illegal tariffs that never had constitutional authority. This wasn't a legitimate trade policy but rather a pointless and unlawful overreach that's now been exposed and struck down by the courts.

Justin Wolfers

Brian Allen Analysis

There's a 95% chance that customs duties revenue to the federal government will increase from $80 billion in fiscal year 2023 to $160 billion in fiscal year 2026 (in 2023 dollars), according to the Metaculus prediction community.

There's a 95% chance that customs duties revenue to the federal government will increase from $80 billion in fiscal year 2023 to $160 billion in fiscal year 2026 (in 2023 dollars), according to the Metaculus prediction community.

Brendan Smialowski/AFP/Getty Images

US Supreme Court Strikes Down Trump's Sweeping Tariffs

Brendan Smialowski/AFP/Getty Images

US Supreme Court Strikes Down Trump's Sweeping Tariffs

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United States of America

Trump abused emergency powers meant for genuine national crises to impose illegal tariffs that never had constitutional authority. This wasn't a legitimate trade policy but rather a harmful and unlawful overreach that's now been exposed and struck down by the courts.

Trump abused emergency powers meant for genuine national crises to impose illegal tariffs that never had constitutional authority. This wasn't a legitimate trade policy but rather a harmful and unlawful overreach that's now been exposed and struck down by the courts.

US Supreme Court Strikes Down Trump's Sweeping Tariffs

US Supreme Court Strikes Down Trump's Sweeping Tariffs

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US Supreme Court Strikes Down Trump's Sweeping Tariffs

US Supreme Court Strikes Down Trump's Sweeping Tariffs

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