Using Tariffs as Diplomatic Leverage

1. The Case at the Supreme Court

• The case is Trump v. Vos Selections, argued on Nov. 5, 2025.
• Small businesses are challenging Trump-era tariffs imposed under the International Emergency Economic Powers Act (IEEPA).

2. Central Legal Questions

• Does IEEPA’s power to “regulate imports” include authority to impose tariffs?
• Did Congress delegate too much taxing authority to the President?
  → This triggers two major constitutional doctrines:
  • Non‑Delegation Doctrine – Congress cannot hand over core lawmaking powers (like taxation) without clear limits.
  • Major Questions Doctrine – Major economic or political actions require explicit congressional authorization.

3. Constitutional Tension

• Article I, Section 8 gives Congress the power to:
  • Lay and collect taxes/tariffs
  • Regulate commerce with foreign nations
• Tariffs sit at the intersection of foreign policy (executive power) and taxation (legislative power).

4. Oral Argument Themes

Justices skeptical of Trump’s argument:

• Roberts – Concerned tariffs are fundamentally taxes on Americans, which is Congress’s domain.
• Gorsuch & Barrett – Pressed the need for clear statutory limits; worried about unchecked executive authority.

Justices leaning toward upholding the tariffs:

• Kavanaugh – Emphasized long history of broad presidential discretion in foreign affairs.
• Thomas – Focused on historical practice of using tariffs as trade tools.
• Alito – Concerned about practical impacts and the large reliance interests ($133B already collected).

5. Predicted Outcome (from the document’s speaker)

• Expected ruling: 5–4 in favor of Trump, upholding tariff authority.
• Predicted majority: Roberts, Thomas, Alito, Kavanaugh + either Barrett or Gorsuch.
• Reasoning:
  • Court is reluctant to disrupt years of foreign policy and economic decisions already relying on the tariffs.
  • Institutional stability concerns—similar to Roberts’ reasoning in the Affordable Care Act case.

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