The Supreme Court rules that Trump's sweeping tariffs are illegal, a blow to the president's economic agenda

The Republican president has been vocal about the case, calling it one of the most important in U.S. history

The Supreme Court struck down President Donald Trump’s far-reaching global tariffs on Friday, handing him a significant loss on an issue crucial to his economic agenda.

The 6-3 decision centers on tariffs imposed under an emergency powers law, including the sweeping “reciprocal” tariffs he levied on nearly every other country.

It’s the first major piece of Trump’s broad agenda to come squarely before the nation’s highest court, which he helped shape with the appointments of three conservative jurists in his first term. Justices Samuel Alito, Clarence Thomas and Brett Kavanaugh dissented.

Chief Justice John Roberts wrote the majority opinion, and made it clear the president needs Congress in order to act.

“The President asserts the extraordinary power to unilaterally impose tariffs of unlimited amount, duration, and scope. In light of the breadth, history, and constitutional context of that asserted authority, he must identify clear congressional authorization to exercise it,” Roberts wrote for the court.

Associate Justice Brett Kavanaugh's dissenting opinion, which Thomas and Alito joined, says this decision likely creates an economic mess for the government.

"So the Court's decision is not likely to greatly restrict Presidential tariff authority going foward," Kavanaugh says. "But the Court's decision is likely to generate other serious practical consequences in the near term. One issue will be refunds. Refunds of billions of dollars would have significant consequences for the U.S. Treasury. The Court says nothing today about whether, and if so how, the Government should go about returning the billins of dollars that it has collected from importers."

CNN has reported that President Trump commented on the Supreme Court ruling striking down his tariffs while inside the White House breakfast with governors Friday morning, calling it a "disgrace," and told those gathered that he has a backup plan.

According to CBS News' Ed O'Keefe, the president has said in recent weeks that were this to happen and the Supreme Court does not uphold his tariffs, "we're screwed." It would take many years to figure out what number we're talking about and even who, when and where to pay back. The Trump administration's collected at least $130 billion in tariff revenue, according to US Customs and Border Protection reports out in recent days.

There will be businesses across this country now wondering if they get their money back and will that be coming back with interest. More than 100 different companies of all sizes had filed suit, raising questions about the legality of these tariffs.

"A major defeat for the president. I think you can put that right up there with some of the most significant Supreme Court losses by a US president in history," CBS News Chief Legal Correspondent Jan Crawford says.

The Republican president has been vocal about the case, calling it one of the most important in U.S. history and saying a ruling against him would be an economic body blow to the country. But legal opposition crossed the political spectrum, including libertarian and pro-business groups that are typically aligned with the GOP. Polling has found tariffs aren’t broadly popular with the public, amid wider voter concern about affordability.

Reaction has been swift, with many Democrats quickly praising the decision.

"Today, the Supreme Court affirmed what Minnesotans have known all along - Trump’s tariffs are illegal," wrote Minnesota Rep. Angie Craig. "Turns out there are limits on his power. Family farmers, small business and American consumers have had enough of the President’s reckless trade agenda."

"Today, the Supreme Court finally affirmed what I have been saying for a year: the Administration's reckless tariffs are illegal," added Minnesota Sen. Amy Klobuchar.

The Supreme Court ruling comes despite a series of short-term wins on the court’s emergency docket that have allowed Trump to push ahead with extraordinary flexes of executive power on issues ranging from high-profile firings to major federal funding cuts.

The tariffs decision doesn’t stop Trump from imposing duties under other laws. While those have more limitations on the speed and severity of Trump’s actions, top administration officials have said they expect to keep the tariff framework in place under other authorities.

The Constitution gives Congress the power to levy tariffs. But the Trump administration argued that a 1977 law allowing the president to regulate importation during emergencies also allows him to set tariffs. Other presidents have used the law dozens of times, often to impose sanctions, but Trump was the first president to invoke it for import taxes.

Trump set what he called “reciprocal” tariffs on most countries in April 2025 to address trade deficits that he declared a national emergency. Those came after he imposed duties on Canada, China and Mexico, ostensibly to address a drug trafficking emergency.

A series of lawsuits followed, including a case from a dozen largely Democratic-leaning states and others from small businesses selling everything from plumbing supplies to educational toys to women’s cycling apparel.

The challengers argued the emergency powers law doesn’t even mention tariffs and Trump’s use of it fails several legal tests, including one that doomed then-President Joe Biden’s $500 billion student loan forgiveness program.

The economic impact of Trump’s tariffs has been estimated at some $3 trillion over the next decade, according to the Congressional Budget Office. The Treasury has collected more than $133 billion from the import taxes the president has imposed under the emergency powers law, federal data from December shows. Many companies, including

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