Why Money and Taxation Mattered to the Court

This week, Scott was joined by Lawfare Managing Editor Tyler McBrien, Lawfare Senior Editor Molly Roberts, and University of Virginia Professor of Law Paul Stephan to talk through the week’s big news in national security, including:

• “Textual Healing.” On Friday, a 6-3 Supreme Court majority brought an end to at least the current iteration of President Trump’s controversial tariff policies, ruling that language in the International Emergency Economic Powers Act (or IEEPA) authorizing the “regulation of…importation” doesn’t include the authority to impose tariffs. That said, President Trump himself has already indicated that he intends to reinstate many of the tariffs he had installed using IEEPA under other statutory authorities. How big a setback is this for the Trump administration’s trade policies? And what might it mean for other aspects of its policy agenda?
• “Mayhem in Mexico.” Over the weekend, an elite unit of the Mexican army killed one of the country’s most powerful drug kingpins, Nemesio Oseguera Cervantes, also known as “El Mencho.” His syndicate, the Jalisco New Generation Cartel, immediately retaliated, through attacks on Mexican security forces, roadblocks throughout the country, and other measures intended to terrorize the public, particularly in areas frequented by American and Western tourists. The decision to move against El Mencho followed an intense pressure campaign by the Trump administration, which has pushed Mexican President Claudia Sheinbaum to take a hard stand against the cartels. Should this be seen as a win for the Trump administration? Or Sheinbaum? And what could the long-term implications be for the U.S.-Mexico relationship?
• “Clap if You Believe.” On Tuesday, President Trump delivered his annual State of the Union address, the longest of its kind. Many had braced for a contentious speech, expecting Trump to ridicule the justices seated in front of him and potentially even announce strikes on Iran. But Trump appeared to pull his punches on both of those fronts—he instead saved his harshest words for congressional Democrats and focused on laying out a rose-colored picture of the state of the country. How effective was Trump’s speech? And what does it tell us about the current state of his second presidency?

In object lessons, Tyler just has this strange sense that you will enjoy the Otherworld podcast. Molly (and her dog) find comfort in the soft, squishy claws of Cthulhu. Scott eased his travel woes with a twist on the Vieux Carre at Birch & Bloom in Charlottesville. And Paul mixed his object lesson with three parts: Peter Suderman’s Cocktails if you’re into all things shaken and stirred; Mark Galeotti's podcast, In Moscow’s Shadow, if you’re into all things Russia-related; and Dan Wang’s New York Times Best Seller book, “Breakneck,” if you’re into all things China-related. 

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