Washington: The United States Supreme Court has dealt a major blow to President Donald Trump’s trade policy, ruling that he exceeded his authority in imposing sweeping global tariffs. Within hours of the decision, the president announced a temporary 10 percent tariff on most imports, setting the stage for new legal and economic battles.
In a 6 to 3 decision issued on Thursday, the court found that Trump improperly used the International Emergency Economic Powers Act to justify broad tariffs on foreign goods. The majority opinion, written by Chief Justice John Roberts, stated that the power to impose tariffs rests with Congress and cannot be exercised unilaterally by the president under emergency law.
Legal experts say the ruling reinforces constitutional limits on executive authority and represents one of the most significant judicial checks on presidential power in recent years. The case was brought by businesses and trade groups that argued the tariffs caused severe financial harm and disrupted supply chains.
Despite the setback, Trump quickly moved to preserve his protectionist trade agenda. The White House announced a temporary 10 percent tariff on most imports for up to 150 days, citing Section 122 of the Trade Act of 1974. The provision allows short term tariffs to address balance of payments concerns and protect domestic industry.
Administration officials also confirmed that new trade investigations are being launched under national security and unfair trade laws, which could lead to additional tariffs in the coming months.
Economists warn the rapid policy shifts may create uncertainty in global markets. The original tariffs generated more than 175 billion dollars in revenue, and trading partners may now seek refunds or renegotiations. Financial markets initially reacted positively to the court ruling but showed renewed volatility after the temporary tariff announcement.
Several industries and state governments are already exploring legal avenues to recover previously paid duties, while importers and exporters face renewed uncertainty over costs and supply chains.
The decision has sparked political debate in Washington, with supporters of the ruling saying it restores congressional authority over trade policy. Trump criticized the judgment and insisted his administration has alternative legal tools to protect American industries.
The temporary tariff is expected to remain in place for several months while further trade actions and possible legal challenges unfold. Analysts say the confrontation between the executive branch and the judiciary could shape future limits on presidential emergency powers and influence global trade relations in the months ahead.