Trump Tariff Powers Appeal Heads to Supreme Court
Justice Department Appeals Ruling Blocking Trump Tariff Powers
Washington – The U.S. Justice Department has appealed a federal appeals court ruling that struck down President Donald Trump’s use of emergency powers to impose tariffs, a key element of his second-term agenda.
The appeal challenges an August 29 decision that said Trump exceeded his authority under the International Emergency Economic Powers Act (IEEPA). The administration has asked the Supreme Court to take up the case quickly, requesting a decision by September 10 on whether to hear it, with arguments in November.
“The stakes in this case could not be higher,” Solicitor General D. John Sauer wrote in the government’s filing, arguing that tariffs are central to peace, economic growth, and national security. He warned that stripping Trump of tariff authority would leave the U.S. vulnerable to retaliation and “thrust America back to the brink of economic catastrophe.”
The dispute stems from Trump’s use of IEEPA earlier this year to impose what he called “reciprocal” tariffs to address trade deficits, as well as separate duties targeting China, Canada, and Mexico over fentanyl trafficking. Historically, IEEPA has been used to impose sanctions on foreign adversaries, not tariffs.
Lawyers representing small businesses and 12 states challenging the tariffs say the president went beyond his constitutional powers, which reserve taxing and tariff authority for Congress. The Federal Circuit Court of Appeals in Washington agreed, ruling 7-4 that Congress did not intend IEEPA to give presidents unlimited tariff authority.
“It seems unlikely that Congress intended, in enacting IEEPA, to depart from its past practice and grant the President unlimited authority to impose tariffs,” the court said, also citing the Supreme Court’s “major questions” doctrine requiring clear authorization for sweeping executive actions.
Small business owners say the tariffs are already inflicting damage. “These unlawful tariffs are inflicting serious harm on small businesses and jeopardizing their survival,” said Jeffrey Schwab of the Liberty Justice Center, one of the attorneys representing importers.
Despite the court defeats, the Trump administration insists the tariffs are vital for diplomacy and economic leverage. Treasury Secretary Scott Bessent urged the Supreme Court to act swiftly, saying the appeals court ruling undermines Trump’s ability to protect U.S. security and economic interests.
The administration is also appealing similar rulings from other courts, with at least eight lawsuits filed against Trump’s tariff policies nationwide. The legal battles, combined with upcoming challenges to Trump’s influence over the Federal Reserve, could set the stage for a sweeping Supreme Court showdown over his economic agenda in the months ahead.
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