US Supreme Court to hear Trump tariffs case on Nov 5

WASHINGTON: The US Supreme Court said on Thursday (Sep 18) it will hear arguments on Nov 5 over the legality of President Donald Trump’s sweeping global tariffs, a major test of one of his boldest assertions of executive power central to his trade agenda.

The justices had already announced on Sep 9 that they would take up the case, after a lower court ruled Trump had exceeded his authority in imposing most of the tariffs under a federal law intended for emergencies.

LEGAL CHALLENGES

The ruling came after challenges from small businesses and 12 US states, most governed by Democrats, including New York, Illinois and Colorado. The court will also hear a separate case brought by family-owned toy company Learning Resources.

The tariffs remain in effect during the appeal.

Trump has made the levies a key foreign policy tool, saying they help renegotiate trade deals, secure concessions and exert pressure on other countries.

TRADE WAR BACKDROP

Since returning to the presidency in January, Trump has launched a global trade war that has unsettled markets and strained relations with trading partners.

The US Court of Appeals for the Federal Circuit in Washington ruled on Aug 29 that Trump overstepped in using the International Emergency Economic Powers Act (IEEPA), a 1977 law typically reserved for sanctions or asset freezes against adversaries.

Trump invoked the law in April to impose tariffs on goods from specific countries to address trade deficits, and in February to levy duties on China, Canada and Mexico as leverage to combat the trafficking of fentanyl and other drugs.

Prior to Trump, no president had used IEEPA to impose tariffs.