Feb. 20, 2026 — Washington, D.C. The U.S. Supreme Court ruled 6-3 in Learning Resources, Inc. v. Trump (Nos. 24-1287 and 25-250) that the International Emergency Economic Powers Act (IEEPA) does not authorize the president to impose tariffs, affirming this as a core congressional power under Article I, Section 8 of the Constitution.
Chief Justice John Roberts authored the majority opinion, joined variably by Justices Sotomayor, Kagan, Jackson, Gorsuch, and Barrett, with concurrences emphasizing textualism and the major questions doctrine. Justices Thomas, Alito, and Kavanaugh dissented, arguing for executive deference in foreign affairs, with Kavanaugh writing that “tariffs are a traditional and common tool to regulate importation.”
The decision invalidated President Trump’s “Liberation Day” tariffs on imports from China, Mexico, Canada, the EU, and others, which had generated over $134 billion in revenue according to U.S. Customs and Border Protection data. Roberts wrote that IEEPA’s language to “regulate . . . importation” lacks any mention of “tariffs or duties,” and Congress must clearly delegate such extraordinary power.
“The power to impose tariffs is ‘very clear[ly] . . . a branch of the taxing power.’ … Article I vests the tariff power in Congress, not the executive branch.”
The ruling leaves refunds to importers and the stability of trade deals uncertain, with lower courts to decide next steps. Dissenters warned of a potential “mess” in processing billions in returns.
President Trump responded during a White House news conference, calling the Court a “disgrace” and criticizing justices, including his appointees Gorsuch and Barrett. He announced a new 10% global tariff under Section 122 of the Trade Act of 1974, later raised to 15% via Truth Social, claiming it would generate more revenue.
“The Supreme Court’s ruling on tariffs is deeply disappointing, and I’m ashamed of certain members of the court, absolutely ashamed for not having the courage to do what’s right for our country.”
The decision, analyzed in detail by SCOTUSblog, applies the major questions doctrine, requiring explicit congressional authorization for vast economic actions. Kagan concurred without invoking the doctrine, relying on ordinary statutory interpretation.
Global reactions included China urging cancellation of remaining tariffs, per France 24. Markets showed volatility, with Bitcoin dipping and gold surging amid uncertainty, as noted in X discussions.
High-engagement X posts captured Trump’s defiance, such as this clip from @DiaperDiplomacy:
“They’re a Disgrace to Our Nation.” — Trump Criticizes Supreme Court Over Tariff Ruling pic.twitter.com/something
The ruling tests executive powers but leaves other tariff authorities intact, per Fox News coverage.
