The U.S. Supreme Court ruled 6-3 on Friday that President Donald Trump’s sweeping "reciprocal" tariffs are unconstitutional. The decision immediately invalidates a cornerstone of the administration’s trade agenda.
The Court held that the President exceeded his authority by invoking the International Emergency Economic Powers Act (IEEPA) of 1977 to bypass Congress. Writing for the majority, Chief Justice John Roberts emphasised that Article I of the Constitution explicitly grants the power to levy taxes and duties to the legislative branch.
"The President asserts the extraordinary power to unilaterally impose tariffs of unlimited amount, duration, and scope," Roberts wrote. "He must identify clear congressional authorisation to exercise it," a standard the Court found the IEEPA did not meet. The ruling follows lower court findings that taxation authority remains a core congressional power that cannot be seized through emergency declarations.
The decision strikes down the 10% universal tariff and the "Liberation Day" duties imposed last year. It also ends specific levies aimed at China, Mexico, and Canada that the administration had tied to the fentanyl crisis. However, the ruling does not affect Section 232 "national security" tariffs on steel and aluminium, which remain active under different statutes.
President Trump reportedly called the decision a "disgrace" and signalled he would pursue "very powerful alternatives".