The Trump tariffs are facing a significant threat at the Supreme Court due to recent rulings that blocked Biden’s policies. The Supreme Court’s conservative majority has previously ruled that federal agencies cannot decide sweeping political and economic matters without clear congressional authorization, citing the “major questions doctrine.” This doctrine is now being applied to Trump’s unilateral imposition of worldwide import taxes.
The US Court of International Trade recently delivered a unanimous ruling, 3-0, that many of Trump’s import taxes exceeded the authority Congress had given him. The potential financial impact of this ruling is substantial, with estimates suggesting that the tariffs could total $1.4 trillion over the next decade.
Critics of Trump’s tariffs argue that they would have a massive impact on the economy, sparking fears of imminent recessions in the US and other major global economies. The tariffs would increase the cost of imports, potentially leading to higher prices for consumers and reduced demand for goods. This, in turn, could lead to a decline in economic growth and potentially even recession.
The administration, however, argues that the major questions doctrine does not apply when Congress gives authority directly to the president, rather than to an administrative agency. This argument is based on the idea that the president has inherent authority to make certain decisions, particularly in areas such as foreign policy and national security.
The Supreme Court’s ruling on this matter could have significant implications for the future of trade policy in the US.
