Even After Losing, Trump Has Three Supreme Court Judges in His Corner on Tariffs
Three dissenting justices warned the ruling could trigger multi-billion-dollar importer refunds across the US.
US Supreme Court Justice Brett Kavanaugh, along with Justices Clarence Thomas and Samuel Alito, dissented in the recent ruling that struck down former President Donald Trump’s sweeping tariff measures. Kavanaugh argued that the decision could lead to “multi-billion-dollar refunds” to importers who paid tariffs under the International Emergency Economic Powers Act (IEEPA), even though some costs may have already been passed on to consumers.
In his dissent, Kavanaugh noted that several federal statutes, including Section 232 of the Trade Expansion Act, Sections 122, 201, and 301 of the Trade Act, and Section 338 of the Tariff Act, grant the US president broad authority to impose tariffs. He warned that limiting presidential power under these laws could have significant economic consequences.
The Supreme Court’s majority held that the president lacked authority under the 1977 IEEPA to impose import duties on goods from nearly all trading partners. Following the ruling, Trump issued a separate order imposing a 10 per cent global tariff, criticizing the court’s decision as “ludicrous” and alleging that it favored foreign interests.
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Trump also stated that recent bilateral trade agreements, including with India, would proceed under alternative legal pathways, asserting that the court’s decision does not undermine ongoing trade deals.
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