By Admin 
Trump Tariff: The US Supreme Court on Friday canceled Trump’s tariffs, calling them illegal. Giving the verdict by a majority of 6-3, the court said that under the Constitution, only the Parliament has the right to impose tariff or tax. The President cannot impose tariffs arbitrarily. This decision given by the US Supreme Court is a matter of relief for many people, from whom Trump has so far collected tariffs worth billions of dollars.
What is IEEPA?
Trump imposed huge tariffs on countries around the world under the International Emergency Economic Powers Act (IEEPA) of 1977 from April 2025. This Act is such an ‘economic weapon’ for America, using which it can break the economic back of any country without fighting a war.
Under this, if the President feels that any country is a threat to America’s security or its economy, then he can use this law by using emergency. Through this, business and transactions of any country can be banned. The US Supreme Court said that the President cannot arbitrarily increase tariffs on any country using this law, he only has the right to stop transactions.
Trump announced 10 percent global tariff
Trump strongly criticized this decision of the US Supreme Court. However, shortly after this decision, Trump announced the imposition of 10 percent global tariff on the world. Quoting a White House official, BBC said in its report that with the new decision for Trump, now global tariff will be imposed under Section 122 on all the countries of the world like India and European Union which have trade deals with America. It is clear from this that in the future, the 18 percent tariff imposed on India will be converted into 10 percent.
What about the money collected so far on behalf of tariff?
However, now the biggest question comes that after the decision of the conservative-majority court, will Trump refund the tariffs collected so far? After the court’s decision, the tariffs imposed earlier by Trump are now being considered illegal. Trump earned $175 billion from tariff revenue. The court did not talk on the issue of refund, but experts say that the lower courts will decide on it in the coming months.
Analysts Carsten Brzeski and Julian Geib of ING, an organization that looks after banking work for big companies in America, said that it is expected to be processed by the US Court of International Trade. He says that the refund money will not come automatically. If an importer wants their money back, they will have to file their own separate case. However, this process has also started now. More than 1,000 companies are involved in this legal battle. Due to this decision of the court, the US government may have to face refund claims worth billions of dollars.
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