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CNBC·Business & FinanceSupreme Court Says Trump’s Tariffs Are Illegal. Here’s What Happens Next
TL;DR
The Supreme Court ruled 6-3 that Trump lacked unilateral authority to impose tariffs, but the tariffs aren't over yet.
Key Points
- 1.Trump's broad "reciprocal" and "fentanyl" tariffs were struck down because the statute he cited had never been used for tariffs before and no valid national emergency was proven; Congress must now authorize any new tariffs.
- 2.Trump immediately pivoted, signing an order imposing a 10% global tariff under Section 122 — but that authority only lasts 150 days, forcing the administration to seek congressional approval for permanent measures.
- 3.The ruling creates a financial mess: the government has collected $117 billion in tariff revenue in fiscal 2026 alone, and the court left unresolved how — or whether — those billions will be refunded to importers.
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