The US Supreme Court dealt a blow to Donald Trump's economic policy, ruling tariffs imposed under the International Emergency Economic Powers Act illegal. The 6-3 decision was supported by justices appointed by the president himself. In response, the White House announced new tariffs, while the Department of Justice launched an antitrust investigation into a streaming giant merger, escalating the government's conflict with the entertainment industry.

Trump's Defeat in Court

The Supreme Court ruled the president's imposition of tariffs unlawful, emphasizing the necessity of maintaining the separation of powers.

Rebellion by the President's Nominees

Justices Gorsuch and Barrett, appointed by Trump, voted against him, prompting a furious reaction from the White House.

Netflix Antitrust Investigation

The Department of Justice is investigating the Netflix-Warner Bros. Discovery merger for potential monopoly threats in streaming.

Billion-Dollar Tax Refunds

The ruling may force the US government to refund over $175 billion in collected tariff duties.

In a historic ruling, the US Supreme Court found that President Donald Trump exceeded his authority by imposing broad import tariffs without Congressional approval. The Court ruled that the IEEPA cannot serve as a basis for levying taxes, which is what tariffs essentially are. Votes against the administration included conservative justices Neil Gorsuch and Amy Coney Barrett, which enraged the president. Trump called them "peace dogs" and accused them of disloyalty to the nation, while announcing the introduction of new, 10-percent tariff rate on nearly all foreign goods foreign goods. The US Supreme Court, guardian of the Constitution, has rarely constrained the president on national security matters for decades. However, Friday's ruling reinstates the doctrine that the exclusive power to levy taxes belongs to the legislative branch. The ruling's consequences could be costly for the state budget, as it is estimated that even $175 billion in already collected duties may be subject to refund to importers. Meanwhile, the administration opened a new battlefront, this time with the technology and film sector. The Department of Justice initiated an antitrust investigation into Netflix's planned acquisition of Warner Bros. Discovery. The $108 billion deal faces opposition from parts of the film community, including James Cameron, who called it potentially "catastrophic" for traditional cinema. Actor Mark Ruffalo came to the market's defense, questioning Cameron's motives and pointing to increasing monopolization on the part of Paramount as well. 175 mld USD — this amount in tariffs may be refunded to importers The situation on global markets remains tense, particularly in Asia, where businesses are watching the White House's next steps with concern. Although the Supreme Court "tied Trump's hands" regarding the use of emergency powers, the administration will likely attempt to utilize the Trade Act of 1974. This, in turn, could lead to years of further legal battles and uncertainty in international trade, which has defined US relations with the rest of the world since the beginning of Trump's second term.

Mentioned People

  • Donald Trump — US President whose tariff policy was blocked by the Supreme Court.
  • James Cameron — Film director opposing the Netflix-Warner Bros. Discovery merger.
  • Mark Ruffalo — American actor questioning Cameron's stance on protecting competition.
  • Neil Gorsuch — Supreme Court Justice who, despite being nominated by Trump, voted against him.
  • Amy Coney Barrett — Supreme Court Justice appointed by Trump who supported the ruling against the tariffs.