Adam—Moments ago, SCOTUS released its opinion in the Trump tariff case that was argued way back in November. In a partly fragmented 6-3 decision, the Court has held that the International Emergency Economic Powers Act (IEEPA) does _not_ authorize peacetime tariffs, even in declared emergencies. The opinion is 170 pages long, but mercifully there is a “syllabus” at the beginning that gives you the bottom line up front. I’ve highlighted and annotated it for you, and attached it here.
Six of the nine Justices (Roberts, Kagan, Sotomayor, Gorsuch, Barrett, and Jackson) concluded that the text of IEEPA just does not grant Trump the sweeping emergency powers that he has claimed. Constitutionally, one of Congress’s core powers is the power of the purse, including taxes and tariffs. The Court views taxes and tariffs as one and the same.
The Executive Branch does _not_ have this power. It _does_ have the power to “regulate,” but cannot normally regulate through taxation—because again, that is Congress’s power.
Three Justices (Roberts, Gorsuch, and Barrett) also believed that the “Major Questions Doctrine” would also preclude Trump’s tariffs—that is, before Congress delegates something big (like the power of the purse) to another branch, it must do so unequivocally, using explicit language with strict limits. IEEPA does not have such language. Kagan, Sotomayor, and Jackson didn’t think the Court had to get into this topic because regular textual interpretation was enough. So although this is part of the opinion, this part of the discussion isn’t binding.
Thomas, Alito, and Kavanaugh dissented.
All this means is that Trump will have to look for other “regulatory” tools to pressure other countries. I’m confident he’ll find it.