The case is Learning Resources v. Trump, issued on February 20. After taking office, Trump imposed tariffs against countries all over the world. He did so under the authority of the International Emergency Economic Powers Act, enacted in 1977 to allow the President to address significant international threats by declaring a national emergency. In this case, Trump said the national emergency was international drug trafficking and the economic crisis. Under Trump's order, the tariffs would essentially tax imports and therefore favor American businesses, though economists believe the tariffs would raise prices on the consumer, who would essentially absorb the extra financial penalties in the marketplace.
By a six-three vote, the Supreme Court finds that the Act does not authorize the tariffs. The Act does give the President to regulate the exportations of any property in which any foreign country has any interest. Does this language include the power to unilaterally impose tariffs? No, says the Court, which reviews the definition of "regulate" and explains that, under a constitutional doctrine that the Court has previously articulated, the "major questions doctrine," we cannot interpret ambiguous statutes tp grant the President authority to take on extraordinary powers normally delegated to Congress under the Constitution. This principle respects the separation of powers enshrined in the Constitution.
In this case, we know that the Constitution gives Congress power to impose a tax, which is essentially how we define a tariff, as it raises revenue by governmental directive. The Court is unwilling to assume that Congress, in passing the emergency powers act, intended to delegate taxing authority to the President without the ability for Congress to pass judgment on such a measure simply because the President declares an emergency.
Adding to the Court's analysis is that no President has previously tried to impose any tariffs without congressional authorization, much less tariffs of this size and scope, which reach around the world and would amount to trillions of dollars. In the end, without clear congressional authority to impose these tariffs unilaterally and with congressional authorization, the Court will not allow the President to impose these tariffs under the emergency act.
If you are keeping score, Chief Justice Roberts wrote the majority opinion, joined by Justices Barrett, Gorsuch, Sotomayor, Kagan and Jackson. Roberts is a Republican who rules with the liberals on an infrequent basis, and Trump appointed Barrett and Gorsuch. The other three Justices in the majority were appointed by Democratic presidents. So this is a bi-partisan ruling. Justices Thomas, Alito and Kavanaugh dissented.
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