Supreme Court hears Trump tariff case on Wednesday

The Supreme Court on Wednesday morning will hear oral arguments to decide the fate of the cornerstone of President Donald Trump‘s aggressive trade policy: Broad and sometimes high tariffs against most of the world’s nations.

Lower federal courts have ruled that Trump lacked the legal authority he cited under the International Emergency Economic Powers Act to impose the so-called reciprocal tariffs on imports from many U.S. trading partners, and fentanyl tariffs on products from Canada, China and Mexico.

The courts said Congress, not the president, has the power to enact tariffs in that manner.

The tariffs start at a baseline of 10% on many nations, and spike to as high as 50% on goods from India and Brazil.

The tariffs, if allowed to stand, would result in $3 trillion in extra revenue for the United States by 2035, according to the Committee for a Responsible Federal Budget. That group last week said the federal government collected $151 billion from customs duties in the second half of fiscal year 2025, “a nearly 300% increase over the same period in” fiscal year 2024.

Treasury Secretary Scott Bessent, who plans to attend Wednesday’s oral arguments, said in a court filing in September that the U.S. might have to refund $750 billion or more if the Supreme Court ruled the tariffs are illegal and waited until next summer to issue that ruling.

The case is seen as a key legal test for Trump, who has won some favorable rulings from the Supreme Court for other policies during his second term in the White House.

Conservatives hold a 6-3 majority among the court’s justices.

Trump insists the tariffs are crucial to protecting the American economy and citizens, and serve as a sharp prod to companies to make their products in the United States.

In a social media post on Tuesday, Trump wrote, “Tomorrow’s United States Supreme Court case is, literally, LIFE OR DEATH for our Country.”

“With a Victory, we have tremendous, but fair, Financial and National Security,” Trump wrote in the Truth Social post.

“Without it, we are virtually defenseless against other Countries who have, for years, taken advantage of us. Our Stock Market is consistently hitting Record Highs, and our Country has never been more respected than it is right now,” he said. “A big part of this is the Economic Security created by Tariffs, and the Deals that we have negotiated because of them.”

Critics of tariffs say the financial hit is borne not by foreign manufacturers but by U.S. importers who pay them, and then largely pass on the added costs to American…