The US Supreme Court is set to issue its next round of rulings on January 14, as stated on its website. The Supreme Court had been deliberating on whether the president can impose broad tariffs under the International Emergency Economic Powers Act (IEEPA) without approval from congressional legislative procedures.
Trump had argued that the US trade deficits are a national emergency and that the tariffs should be imposed on other countries immediately. On January 2, he had argued that the tariffs have made the United States stronger financially.
The move by Trump was challenged by US importers and trade associations, as they argued that the IEEPA, a 1977 law meant for national emergencies, does not authorize the US president to levy broad-based import tariffs and that the power to do that lies with the US Congress. The challenges were brought by businesses affected by the tariffs and 12 U.S. states, most of them Democratic-governed.
The justices who gathered on Friday only issued one ruling on Friday in a criminal case.
The Supreme Court outcome is set to impact the global economy.
On Saturday, US Treasury Scott Bessent told Reuters that the US Treasury has more than enough funds to cover any tariff refunds that could be ordered by the Supreme Court in the upcoming ruling. The treasury reportedly has nearly $774 billion in cash on hand.
However, the payments would be spread out over weeks or even a year.
In the interview, he said that he still doubted that the court would rule against Trump’s tarrifs and that any negative ruling may not be a simple yes or no result, which could complicate the refund process.
“It won’t be a problem if we have to do it, but I can tell you that if it happens – which I don’t think it’s going to – it’s just a corporate boondoggle,” Bessent said
Bessent also disputed the idea that the tariffs contributed to inflation, arguing that the companies were not passing the tariffs down to the consumers. He said there was “very, very little, if any, pass-through.”
Besent also said he believed that the longer the tariff decisionis delayed, the more likely it is that the Supreme Court rules in Trump’s favor.
The Trump administration is currently appealing rulings by lower courts that he overstepped his authority in imposing the tariffs.
On November 5, both conservative and liberal justices cast doubt on whether the tariffs were legal when hearing arguments.
National Economic Council Director Kevin Hassett said that the administration has contingency plans to impose the tariffs incase the Supreme Court rules against the legality of Trumps tariffs.
Hassett said that the plan would allow the levies to be put back immediately.
US Supreme Court ruling on Trump’s tariffs set for January 14; Bessent says Treasury has enough to pay off tariff refunds
