Supreme Court will hear landmark Trump tariffs case this week

The Supreme Court will hear a pivotal case this week that could determine whether President Donald Trump had the legal authority to impose billions in tariffs under the International Emergency Economic Powers Act (IEEPA).

Trump invoked the IEEPA to raise import taxes as high as 50% on India and Brazil and up to 145% on China. These generated nearly $90 billion in tariff revenue as of September 23, more than half of the US tariff income for fiscal year 2025.

If the court rules against Trump, it would not immediately cancel existing tariffs but could fundamentally alter his trade strategy and economic promises.

The US tariffs encouraged many nations to buy and invest more in American goods and industries. Without the trade levies in place, other countries might reconsider their agreements.

Trump warned that a loss could force the government to reimburse businesses for billions already paid, though refunds would likely be slow and complex.