Trump says billions of dollars may have to be returned after top court strikes down tariffs

WASHINGTON

Hundreds of billions of dollars in tariffs charged by the US may need to be returned, President Donald Trump said Friday after the Supreme Court ruled the penalties were illegally imposed.

Trump questioned whether the case could be reheard by the top court, though that is highly unlikely after it struck down his global tariff campaign last week in a 6-3 decision.

"The recent decision of the United States Supreme Court concerning tariffs could allow for hundreds of billions of dollars to be returned to countries and companies that have been 'ripping off' the United States of America for many years, and now, according to this decision, could actually continue to do so, at an even increased level," he said on his Truth Social platform.

"I am sure that the Supreme Court did not have this in mind! It doesn’t make sense that countries and companies that took advantage of us for decades, receiving billions and billions of dollars that they should not have been allowed to receive, would now be entitled to an undeserved 'windfall,' the likes of which the world has never seen before," he added.

The Supreme Court ruled that the International Emergency Economic Powers Act (IEEPA), which previously served as the legal basis for Trump’s tariff measures, does not grant the president authority to impose broad tariffs.

That same day, Trump signed a decree imposing a 10% global tariff under Section 122 of the 1974 Trade Act, and said he raised the tax to 15% one day later.

But White House officials clarified that only the 10% decree has been formally signed, with any increase to 15% to occur at a later stage.

Trump said Saturday that the 15% levy would be “effective immediately,” but analysts have noted gaps between his postings on Truth Social, which sometimes read like decrees, and the decrees themselves, which are meant to have the actual force of law.

Section 122 of the 1974 Trade Act authorizes the president to impose temporary tariffs for up to 150 days in response to “large and serious” balance-of-payments deficits. After 150 days, Congress would have to approve the tariffs, though the administration has said it will pursue ways to get around that requirement.

In its ruling, the Supreme Court said the Constitution "very clearly" gives Congress the authority to tax, including decisions to impose tariffs, not the president.

"The Framers did not vest any part of the taxing power in the Executive Branch," Chief Justice John Roberts wrote on behalf of the majority, referring to the authors of the Constitution.