U.S. Supreme Court Rules on IEEPA Tariff Case – What’s Next?-On-Demand Recording

Video Transcription

Video Summary

ACEC hosted an online class on the U.S. Supreme Court’s decision striking down tariffs imposed under the International Emergency Economic Powers Act (IEEPA) and what happens next. Fox Rothschild partners Elizabeth Levinson and Brittany Powell explained that in <em>VOS Selections, Inc. v. Trump</em> (Feb. 20, 2026), the Court held 6–3 that IEEPA does not authorize the President to impose tariffs; tariff authority resides with Congress (Article I, Section 8). The ruling affects only IEEPA-based duties (including country-specific “fentanyl” and other measures impacting China, Mexico, Canada, Brazil, India), not Section 232 (steel/aluminum and other national security tariffs), Section 301 (unfair trade practices, notably China), Section 201 safeguards, AD/CVD duties, or normal MFN rates.

A key focus was refunds. The Court of International Trade (Judge Eaton) ordered Customs to liquidate entries and refund IEEPA duties broadly, not limited to plaintiffs. However, importers must take affirmative steps: monitor liquidation status, use the ACE portal to notify CBP of refund-eligible entries, enroll for ACH refunds, and file protests for entries already liquidated—especially those beyond the 90-day reliquidation window (protests must be filed within 180 days). CBP suggested it could stand up a refund process within ~45 days.

Powell covered the administration’s rapid response: a temporary global “surcharge” under Section 122 of the Trade Act (10%, with plans to raise to 15%, capped at 150 days through July 24, 2026), with exemptions for USMCA-origin goods, Section 232 goods, and listed product categories. A 24-state lawsuit already challenges the Section 122 action. Speakers advised importers to audit entries, confirm HTS classifications, consider protective litigation, renegotiate supplier contracts to allocate tariff/refund risk, and model financial impacts as additional 232/301 actions are expected.

Keywords

VOS Selections, Inc. v. Trump (2026)

International Emergency Economic Powers Act (IEEPA) tariffs

Supreme Court tariff authority Congress Article I Section 8

Customs duty refunds CBP liquidation protests

Court of International Trade Judge Eaton refund order

ACE portal refund-eligible entry notification

ACH refunds enrollment for importers

Section 122 Trade Act global surcharge 10% 15% 150 days

USMCA exemptions and tariff exclusions

Section 232 Section 301 Section 201 AD/CVD unaffected tariffs