The Trump administration has formally asked the Supreme Court for a speedy review of a lower court ruling that rejected much of President Trump’s tariff policy.
In a filing late Wednesday, Solicitor General John Sauer asked the high court to expedite its review of last week’s ruling by the Court of Appeals for the Federal Circuit that found that Trump had exceeded his authority in declaring a national emergency as part of his effort to transform U.S. trade policy. Sauer asked the Supreme Court to consider the administration’s appeal quickly “to the maximum extent feasible, given the enormous importance of quickly confirming the full legal standing of the president’s tariffs.”
Last week’s appeals court decision focused on what Trump called “reciprocal tariffs” — across-the-board import taxes on all goods from most U.S. trade partners around the world. Trump justified the imposition of the tariffs by declaring that trade deficits are a national emergency and then claiming he had the authority to change policy under the 1977 International Emergency Economic Powers Act.
The appeals court ruled that setting tariffs is a “core Congressional power.” The ruling does not apply to tariffs Trump has imposed on specific sectors such as steel and autos.
Those opposing Trump’s reciprocal tariffs are also hoping for a quick resolution. “These unlawful tariffs are inflicting serious harm on small businesses and jeopardizing their survival,” said Jeffrey Schwab of Liberty Justice Center, per the BBC. “We hope for a prompt resolution of this case for our clients.”
Tariff refunds? If the Supreme Court upholds the appeals court ruling, the federal government could be required to refund some of the import tax revenues collected this year. The U.S. Customs and Border Protection says it has collected more than $100 billion in tariffs under the IEEPA as of August 24.
“We’re talking about hundreds of billions of dollars potentially in refunds affecting thousands and thousands of importers,” trade lawyer Luis Arandia told the Associated Press. “Unwinding all that will be the largest administrative effort in U.S. government history.”
In typically exaggerated terms, Trump has warned that ending the tariffs would greatly harm the U.S. “Without tariffs, and all of the TRILLIONS OF DOLLARS we have already taken in, our Country would be completely destroyed, and our military power would be instantly obliterated,” he wrote on his social media platform.
According to the Treasury Department, the U.S has collected $183 billion in “customs and certain excise taxes” as of August 28. Analysts at Goldman Sachs estimate that U.S. businesses have absorbed most of the cost of the tariffs, though they expect the cost to be shifted to U.S. consumers over the coming months.