The Supreme Court's 6-3 ruling has invalidated President Donald Trump'sglobal tariffs, marking a significant setback for his economic strategy. The court emphasised that only Congress has the constitutional authority to impose taxes, including tariffs, counteringTrump's use of emergency powers to unilaterally impose sweeping "reciprocal" tariffs on nearly every other country.

After the decision, Trump said he was “absolutely ashamed” of some justices who ruled 6-3 against him, calling them “disloyal to our Constitution” and “lapdogs.” At one point he even raised the specter of foreign influence without citing any evidence.

“Their decision is incorrect,” he said. “But it doesn’t matter because we have very powerful alternatives.”

The majority found that the Constitution "very clearly" gives Congress the power to impose taxes, which include tariffs, but said that no President has ever found such power in International Emergency Economic Powers Act (IEEPA), which is strong evidence that it does not exist

The Constitution gives Congress the power to levy tariffs. But the Trump administration argued that a 1977 law allowing the president to regulate importation during emergencies also allows him to set tariffs. Other presidents have used the law dozens of times, often to impose sanctions, but Trump was the first president to invoke it for import taxes.

"The Framers did not vest any part of the taxing power in the Executive Branch," Chief Justice John Roberts wrote.

Justices Samuel Alito, Clarence Thomas and Brett Kavanaugh dissented.

"The tariffs at issue here may or may not be wise policy. But as a matter of text, history, and precedent, they are clearly lawful," Kavanaugh wrote.

The majority did not address whether companies could get refunded for the billions they have collectively paid in tariffs. Many companies, including the big-box warehouse chain Costco, have already lined up to demand refunds in lower courts. Kavanaugh noted the process could be complicated.

"The Court says nothing today about whether, and if so how, the Government should go about returning the billions of dollars that it has collected from importers. But that process is likely to be a mess,' as was acknowledged at oral argument," he wrote.

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