Supreme Court Ruling on IEEPA Tariffs

To Our Valued Partners,

This morning, February 20, the U.S. Supreme Court issued its decision holding that the International Emergency Economic Powers Act (IEEPA) does not authorize the President to impose tariffs.

The Court affirmed that tariff authority rests with Congress unless clearly delegated, and it concluded that IEEPA does not provide that delegation. As a result, tariffs imposed under IEEPA lack statutory authorization.

What This Means

• IEEPA does not provide legal authority for imposing tariffs.
• Any future tariff actions would need to rely on statutes that expressly authorize duties, such as Section 232 of the Trade Expansion Act, Section 301 of the Trade Act of 1974, or safeguard measures under Section 201.
• Implementation guidance from U.S. Customs and Border Protection (CBP) has not yet been issued.

What This Does Not Mean

• The Court did not order automatic refunds.
• The Court did not establish a recovery mechanism for duties previously paid.
• The decision does not affect other tariff authorities that remain available under separate statutes.

At this time, CBP has not released procedural guidance regarding entry adjustments, refund pathways, or system updates.

In the meantime, you may review the full Supreme Court opinion here.