Feb. 20, 2026 — Washington, D.C. The U.S. Supreme Court ruled 6-3 that President Donald Trump’s global tariffs, including rates up to 145% on imports from countries like China and totaling over $175 billion in collections, exceeded authority granted by the International Emergency Economic Powers Act (IEEPA). In consolidated cases such as Learning Resources, Inc. v. Trump, Chief Justice John Roberts wrote for the majority that IEEPA authorizes blocking or regulating trade during emergencies but not imposing tariffs, a core congressional power under Article I of the Constitution.
The Court applied the major questions doctrine, requiring clear statutory language for such significant economic actions. “IEEPA does not authorize the President to impose tariffs,” Roberts concluded in the opinion.
“Had Congress intended to convey the distinct and extraordinary power to impose tariffs, it would have done so expressly, as it consistently has in other tariff statutes.”
Justice Brett Kavanaugh dissented, joined by Justices Clarence Thomas and Samuel Alito, arguing that “regulate … importation” historically includes tariffs.
Hours after the ruling, the White House issued a proclamation imposing a 10% ad valorem surcharge on most imports under Section 122 of the Trade Act of 1974 to address U.S. balance-of-payments deficits. Effective Feb. 24, 2026, for up to 150 days, it includes exemptions for items like pharmaceuticals, energy products and USMCA goods from Canada and Mexico.
The next day, Trump raised it to 15% via social media, calling it the “fully allowed, and legally tested” level for countries “ripping” the U.S. off.NBC coverage. A White House fact sheet called the ruling “disappointing” but vowed to continue reshaping global trade.
“The Supreme Court’s disappointing decision today will not deter the President’s effort to reshape the long-distorted global trading system that has undermined the economic and national security of our country.”
U.S. stock markets seesawed amid uncertainty, with the Dow declining in some sessions before partial recoveries.NBC markets
FedEx filed the first major lawsuit in the U.S. Court of International Trade seeking refunds for tariffs paid, potentially unlocking $133-175 billion in claims.CNBCEconomic Times
BREAKING: Global transportation company FedEx filed a lawsuit in the US Court of International Trade seeking a refund for US President Trump's emergency tariffs, which the US Supreme Court deemed illegal last week https://t.co/someurl
— Reuters (@Reuters) February 23, 2026
Democrats like Reps. Stephen Lynch and Steven Horsford pushed the RELIEF Act for refunds.X posts
