The US Supreme Court struck down the sweeping tariffs imposed by Donald Trump, which he pursued under a law intended for use during national emergencies, delivering a significant legal setback to the Republican leader, Reuters reported.
In a landmark opinion issued on Friday, the justices, in a 6-3 ruling authored by conservative Chief Justice John Roberts, upheld a lower court’s decision that Trump exceeded his authority in invoking a 1977 law to impose sweeping tariffs.
The court held that the statute in question — the International Emergency Economic Powers Act, or IEEPA, did not grant the president the power he claimed to impose broad tariff measures on multiple US trading partners.
Several countries reacted swiftly to the development following the court’s decision on US tariffs, with the governments closely watching the implications for global trade flows and diplomatic ties.
Here’s how countries reacted to the news
— Canada: Responding to the ruling, the country said the SC decision affirms that Trump tariffs were ‘unjustified’. Canada faces 35% tariffs on certain goods, though most are exempt under the existing US-Canada-Mexico (USMCA) free trade agreement. It is also impacted by a 50% levy on imported metals and 25% duty on non-US cars.
— United Kingdom: A British government spokesperson said it ‘will work with’ the US over the impact of the tariff ruling, according to AFP. The baseline tariff that Britain faced under the reciprocal tariffs was 10%, which it says is among the lowest globally. “Under any scenario, we expect our privileged trading position with the US to continue,” the spokesperson said.
— European Union: According to an official spokesman, the EU is carefully ‘analysing’ the US Supreme Court tariff ruling, AFP reported. The US and EU reached a deal on trade tariffs last year, setting a 15% tariff for most exports into the US.
— Switzerland: The Swiss government says that the country’s federal council acknowledges the decision of the US Supreme Court, though it refused to give any further comment. In January, President Trump agreed to lower the 39% tariff rate on Swiss imports to 15%, but he warned that the rate could rise again.
What does the ruling mean for sector-specific tariffs?
The decision does not affect sector-specific duties that Trump separately imposed on imports such as steel, aluminium and other targeted goods under different legal authorities.
Several ongoing government investigations could also pave the way for more sectoral tariffs, meaning trade tensions in specific industries may continue despite the court’s broader ruling.
A lower trade court had previously ruled in May last year that Trump overstepped his authority with across-the-board levies and blocked most of them, but that outcome was put on hold as the government appealed, AFP reported.
