Trump’s Tariff Authority Faces Major Test at Supreme Court

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The US Supreme Court on Wednesday grilled the Trump administration over its use of sweeping tariff powers, signalling skepticism toward the former president’s justification for imposing billions of dollars in duties on imports from countries around the world.

The case, which could reshape presidential authority over trade, drew intense scrutiny as several justices — including conservatives — expressed doubts about whether Donald Trump overstepped his powers under the International Emergency Economic Powers Act (IEEPA).

Trump invoked the 1977 law earlier this year to levy tariffs of up to 50% on imports, citing national emergencies ranging from drug trafficking to America’s trade deficit.

Justice Amy Coney Barrett, a Trump appointee, questioned the logic of applying tariffs so broadly. “Is it your contention that every country needed to be tariffed because of threats to the defence and industrial base? I mean, Spain? France?” she asked.

Chief Justice John Roberts warned that approving such a sweeping use of emergency powers could allow any president to impose tariffs “on any product from any country in any amount, for any length of time.”

The justices’ concerns centred on whether Trump’s tariffs — which have raised an estimated US$90 billion so far — were actually a form of taxation, a power constitutionally reserved for Congress.

Justice Sonia Sotomayor bluntly told government lawyers: “You want to say tariffs are not taxes, but that’s exactly what they are.”

The administration, represented by Solicitor General John Sauer, argued that the tariffs were “regulatory” rather than revenue-raising measures, and that striking them down would invite “ruthless trade retaliation” against the US.

The case could have enormous financial and political consequences. If the court rules against Trump, the government could be forced to refund billions of dollars in tariffs already collected.

Small business owners — who say the duties have caused layoffs, shortages, and shuttered operations — gathered outside the court during the nearly three-hour hearing.

“I think they really understood the overreach that the president has done under IEEPA,” said Sarah Wells, a small business owner affected by the tariffs. “It sounded like they know this has to be reined in.”

A ruling is expected within months, in what could become a defining test of presidential power over trade and emergency economic policy. — AFP / Reuters

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