Supreme Court Strikes Down Trump Tariffs, President Vows New Levies
In a significant defeat for President Donald Trump, the Supreme Court on Friday, February 20, 2026, struck down his sweeping unilateral tariffs in a 6-3 decision. The ruling throws U.S. Trade policy into uncertainty, prompting the President to announce plans for a new 10% global tariff under a different legal authority.
Supreme Court Ruling
The Supreme Court determined that President Trump exceeded his authority when imposing the tariffs, asserting that the U.S. Constitution grants Congress, not the President, the power to issue taxes and tariffs on foreign countries. The decision could potentially require the government to refund an estimated $175 billion in taxes collected from the levies .
Trump’s Response and New Tariff Plan
President Trump expressed strong disapproval of the Court’s decision, calling it “deeply disappointing” and stating he was “absolutely ashamed” of the justices who voted against his tariffs . He immediately announced his intention to sign an executive order imposing a 10% global tariff under Section 122 of federal law, a move that would replace the tariffs struck down by the Court . He also indicated he is exploring other avenues for implementing tariffs.
Impact on Businesses and the Economy
The Supreme Court’s decision has been met with mixed reactions. Businesses, particularly midsize firms that saw tariffs triple under the previous policy, are celebrating the ruling . However, the uncertainty surrounding future trade policy remains a concern. Economists predict the potential for significant government refunds, even as the President maintains there will be no money paid back.
Recent Cases Involving Trump and the Supreme Court
This ruling is part of a series of cases involving challenges to the actions of President Trump and his administration before the Supreme Court since he returned to office in January 2025 .
Current Supreme Court Members
The current members of the Supreme Court as of February 21, 2026, were involved in this decision. One justice warned of a potential “mess” resulting from the ruling . Information on the individual justices can be found on the Supreme Court’s website .