Supreme Court Strikes Down IEEPA-Based Tariffs, Doesn’t Rule on Refunds (“Likely to be a ‘Mess’”)

Markets not surprised. 10-year Treasury yield rises modestly. The tariffs Trump imposed by invoking the International Emergency Economic Powers Act (IEEPA) of 1977, both the “reciprocal” tariffs designed to reduce the trade deficit, and the tariffs designed to reduce fentanyl trafficking out of China, Mexico, and Canada, got struck down in the Supreme Court by a 6-3 vote, released today. The three dissenters were Clarence Thomas, Samuel Alito, and Brett Kavenough.Over half of the tariff revenues have been g ...