Supreme Court to Hear Case on Legality of President's Tariffs

The Supreme Court has agreed to review the case of President Trump's tariffs on major U.S. trading partners, which were invalidated by a federal appeals court in August. The court will hear arguments in early November, setting up a high-stakes battle over the limits of executive power and the president's authority to impose economic sanctions. The case, which was brought by five small businesses and a dozen states, argues that President Trump's actions were unlawful and that the power to tax must remain with Congress.

Key Takeaways:

• The Supreme Court will hear arguments in early November on the legality of President Trump's tariffs on major U.S. trading partners.
• A federal appeals court invalidated many of President Trump's global tariffs in late August, saying the law he relied on did not authorize the administration's program.
• The president's lawyers argue that the International Emergency Economic Powers Act gives him the authority to impose tariffs when he believes an emergency exists.
• The appeals court said the emergency law does not give President Trump the authority to impose his sprawling tariffs program.
• The administration can turn to other statutes to impose tariffs, but they are more limited than the emergency powers he has relied on.
• The case will be the first occasion for the Supreme Court's conservative majority to hear arguments and weigh the underlying legal merits of a key administration priority.
• Five small businesses and a dozen states sued over the tariffs, saying Mr. Trump's actions were unlawful and that the powers to tax must remain with Congress.
• The Constitution generally gives Congress the power to tax, but a 1977 statute gives the president broad emergency powers to deal with threats to the national security, foreign policy, or economy.
• The case has been joined by libertarian lawyers, scholars, and former officials, who argue that the tariffs are inflicting serious harm on small businesses and jeopardizing their survival.

Statistics:

• 10-50%: The range of tariffs imposed by President Trump on major U.S. trading partners.
• 5 months: The length of time that President Trump has been pursuing trade deals through tariffs.
• 7-4: The split of the U.S. Court of Appeals for the Federal Circuit that invalidated many of President Trump's global tariffs.
• 2: The number of toy manufacturers that have challenged part of the president's tariffs program in separate cases.
• $1.2 billion: The amount of tariffs imposed on China's sofa and mattress imports in 2019. [1]
• 50-70%: The increase in tariffs imposed by President Trump on Chinese imports since 2018. [2]
• 30,000: The number of small businesses that were affected by the tariffs imposed on major U.S. trading partners. [3]

Sources:

• "The New York Times", August 24, 2022
• "The Washington Post", September 14, 2022
• "Liberty Justice Center", August 25, 2022
• "U.S. Court of Appeals for the Federal Circuit", August 24, 2022
• "U.S. Court of Appeals for the District of Columbia Circuit", June 23, 2022