Supreme Court Strikes Down Trump's Reciprocal Tariffs

LA ports prepare for uncertainty after ruling that presidential tariff powers exceeded authority

Published on Feb. 21, 2026

The U.S. Supreme Court has struck down President Donald Trump's so-called reciprocal tariffs, finding that such power exceeded his authority under the law. Los Angeles regional port authorities have hailed the decision, but say it creates new uncertainties around tariff refunds and the administration's plans for a new 10% global tariff.

Why it matters

The ruling impacts about two-thirds of the tariffs that have been collected to date, creating uncertainty for businesses and logistics partners who depend on clear, predictable trade policy to plan investments and move cargo efficiently. Ports like Los Angeles and Long Beach play a critical role in the nation's supply chain, supporting millions of jobs.

The details

The Supreme Court ruled 6-3 that it was unconstitutional for the president to set and change tariffs, as that power solely belongs to Congress. The court did not rule out allowing importers to claim refunds on any tariffs paid under the president's IEEPA authority. In response, Trump announced plans to impose a new 10% global tariff, restricted to 150 days, while his staff explores other methods to impose trade policies.

  • On Friday, February 20, 2026, the Supreme Court issued its 6-3 ruling striking down Trump's reciprocal tariffs.
  • The new 10% global tariff announced by Trump is expected to take effect almost immediately.

The players

Gene Seroka

Executive Director of the Port of Los Angeles, who said the court's decision impacts about two-thirds of the tariffs collected to date and creates new uncertainties.

Noel Hacegaba

CEO of the Port of Long Beach, who emphasized that an orderly approach to tariffs helps businesses plan, and ports like Long Beach can maximize their contributions to the U.S. economy.

Donald Trump

The former U.S. president who used the IEEPA to impose sweeping tariffs on U.S. trade partners, citing unfair trade, and who has now announced a new 10% global tariff in response to the Supreme Court ruling.

Alan Morrison

Lead counsel for Consumer Watchdog's amicus brief in the lawsuit challenging Trump's tariffs, who called the ruling a "resounding victory for the principles of separation of powers."

William Pletcher

Litigation director for Consumer Watchdog, who said the decision was a decisive victory for customers, as the court made clear that no president can use emergency powers as an end-run around Congress's exclusive taxing power.

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What they’re saying

“First, there is not yet clarity on whether there will be refunds from the U.S. Treasury Department on tariffs already paid. Second, the administration has already announced a new 10% global tariff in the wake of the ruling with no indication as to when that will take effect.”

— Gene Seroka, Executive Director, Port of Los Angeles (nbclosangeles.com)

“We hope the ruling brings greater certainty to the supply chain. Freight can't wait -- and certainty helps keep it moving.”

— Noel Hacegaba, CEO, Port of Long Beach (nbclosangeles.com)

“This was an important case to me, more as a symbol of Economic and National Security, than anything else. The Good News is that there are methods, practices, Statutes, and other Authorities, as recognized by the entire Court and Congress, that are even stronger than the IEEPA TARIFFS, available to me as President of the United States of America and, in actuality, I was very modest in my `ask' of other Countries and Businesses because I wanted to do nothing that could sway the decision that has been rendered by the Court.”

— Donald Trump (Truth Social)

“The court made clear that no president can use emergency powers as an end-run around Congress's exclusive taxing power. Americans cannot be taxed by executive fiat.”

— William Pletcher, Litigation Director, Consumer Watchdog (nbclosangeles.com)

“This was an important case to me, more as a symbol of Economic and National Security, than anything else.”

— Donald Trump (Truth Social)

What’s next

The judge in the case will decide on Tuesday whether or not to allow importers to claim refunds on any tariffs they may have paid under the IEEPA authority.

The takeaway

The Supreme Court's ruling is a significant check on the president's ability to unilaterally impose tariffs, returning that power to Congress where it belongs. However, the uncertainty created by the decision and the administration's plans for new tariffs could still disrupt supply chains and impact businesses and consumers in the short term.