Supreme Court Strikes Down Trump's Global Tariffs as Unlawful

The U.S. Supreme Court has ruled that former President Donald Trump exceeded his authority by imposing sweeping global tariffs in April 2025.

In a majority decision, the justices declared the measures unlawful, stating that the International Emergency Economic Powers Act does not grant a president the power to levy tariffs. The court emphasized that the exclusive power to impose import duties rests with the U.S. Congress.

The former president sharply criticized the verdict, calling it a

"disgrace,"

and stated he has a contingency plan. The ruling represents a significant legal setback for the Trump administration following his return to power.

The court sent the question of potential compensation for importers back to lower courts for further review. If full compensation is awarded, the total sum could reach $170 billion.

This amount represents more than half of the revenue generated by the now-invalidated tariffs. The decision nullifies the so-called "reciprocal" tariffs against most of the world, including China, Canada, and Mexico. However, separate tariffs on steel and aluminum, enacted under different legal authority, remain in effect.