In a landmark ruling on February 20, 2026, the U.S. Supreme Court invalidated most of former President Donald Trump’s global tariffs, dealing a major setback to his signature trade policy.
In a 6-3 decision, the Court found that Trump overstepped his authority by imposing sweeping tariffs under the 1977 International Emergency Economic Powers Act (IEEPA), a law designed for genuine national emergencies, not broad trade taxation.
The majority opinion, written by Chief Justice John Roberts, held that the Constitution grants Congress, not the president, the power to impose tariffs.
The tariffs, which covered imports from nearly all U.S. trading partners and generated tens of billions in revenue, are now legally invalid.
Courts are expected to sort out whether businesses that paid these duties are owed refunds, potentially amounting to tens of billions of dollars.
Trump allies have signaled plans to pursue alternative legal bases for trade duties, but this decision marks a significant check on executive authority in economic policy.
We are following the development.
