economy
Everything You Need to Know About Trump's New 10% Tariffs and Refunds
The US Supreme Court has ruled that President Donald Trump exceeded his authority when he imposed sweeping tariffs on the entire world last year.
TL;DR
- The US Supreme Court ruled 6-3 that President Trump exceeded his authority by using the 1977 International Emergency Economic Powers Act (IEEPA) to impose global tariffs.
- The court stated that Congress, not the president, has the authority to impose new taxes, and IEEPA regulations do not permit revenue generation.
- Trump immediately signed a proclamation using Section 122 of the Trade Act of 1974 to impose a temporary 10% tariff on imports from all countries.
- The decision leaves open the possibility of refunds for consumers and businesses totaling around $130 billion collected under the IEEPA tariffs, though this is expected to be a lengthy legal process.
- Tariffs imposed under Section 232 of the Trade Expansion Act of 1962, based on national security concerns, are not affected by this ruling and may remain in place.