The US Supreme Court told the president he can’t use emergency powers to slap tariffs on America’s biggest trading partners. So the administration did what any determined policymaker would do: it found a different law. In a 6-3 ruling in Learning Resources, Inc. v. Trump, the Court held that the International Emergency Economic Powers Act does not grant the president authority to impose tariffs on imports from Canada, Mexico, and China. Chief Justice John Roberts wrote that the IEEPA’s provisions to “regulate…importation” simply do not stretch far enough to cover tariff imposition. What the Court actually said The February 20, 2026 decision was the most significant check on presidential trade authority in decades. The IEEPA had been the legal backbone for some of the broadest tariffs in modern American history, covering goods from three of the country’s largest trading partners. Those tariffs had generated over $130 billion in collected revenue before the Court pulled the plug. The six-justice majority included appointees from both Republican and Democratic presidents. The three dissenting justices argued for a broader reading of executive emergency powers. The Section 301 pivot By...
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