Trump's Tariffs Regime Faces Legal Challenge in US Supreme Court

The Trump Administration's push for tariffs, which has been a cornerstone of President Donald Trump's economic policy, is facing a significant hurdle in the US Supreme Court. The administration has asked the court to expedite a ruling on the legality of tariffs imposed on dozens of countries, citing the International Emergency Economic Powers Act (IEEPA). However, the US Court of Appeals for the Federal Circuit has already ruled against the Trump administration, stating that there is no clear congressional authorization for the use of tariffs.

Key Takeaways:

• The US Court of Appeals for the Federal Circuit ruled 7-4 against the Trump administration's use of tariffs against 90 countries, citing a lack of congressional authorization.
• The administration has asked the US Supreme Court to expedite a ruling on the legality of tariffs imposed on dozens of countries, citing the IEEPA.
• The Trump administration's tariffs regime has been found to be counter-productive for world economies, including the US, and may also lead to a constitutional crisis between the legislative and executive branches of the US government.
• The dissenters in the Court of Appeals ruling suggested that the IEEPA embodies "an eyes-open congressional grant of broad emergency authority in...foreign-affairs realm".
• 12 US states and a clutch of small businesses have sued the Trump Administration over tariffs, which could be null and void if the Supreme Court agrees with them.
• Treasury Secretary Scott Bessent claimed in his affidavit to the Supreme Court that a delay in the ruling could lead to "catastrophic" economic consequences.

Statistics:

• 90 countries have been targeted by the Trump administration's tariffs.
• 7-4 was the margin of the Court of Appeals ruling against the Trump administration.
• September 10 is the deadline by which the US Solicitor General has urged the Supreme Court to decide whether to hear the case on an urgent basis.
• The Trump administration's tariffs regime has sparked a constitutional crisis between the legislative and executive branches of the US government.
• 12 US states and a clutch of small businesses have sued the Trump Administration over tariffs.

Sources:

• Trump Administration seeks expedited ruling from US Supreme Court on tariff legality (Contify.com)
• Court of Appeals for the Federal Circuit ruling (Contify.com)
• US Congress legislated the IEEPA in 1977 to enable the US President to impose sanctions in case of an emergency.
• The US Constitution gives the US Congress the exclusive right to levy taxes; and tariffs are taxes.