02.09.202500:52:04UTC+00Bessent Defends Trump’s Tariff Authority Amid Legal Challenge

U.S. Treasury Secretary Scott Bessent expressed confidence on Monday in the Supreme Court's likely decision to support President Trump's application of the 1977 International Emergency Economic Powers Act (IEEPA) for implementing extensive tariffs. Bessent highlighted that the administration has a backup plan if the Court's decision does not align with their expectations. In his upcoming legal brief, Bessent plans to underline the importance of addressing persistent trade imbalances and curtailing fentanyl imports. Recently, a divided U.S. appeals court ruled by a margin of 7–4 that the majority of Trump's tariffs are unlawful; however, these tariffs will remain in place until October 14, pending the Supreme Court's review. The ruling specifically affects the "reciprocal" tariffs imposed in April and those related to fentanyl from February but does not influence levies enacted under other legal provisions, such as those on steel and aluminum. President Trump invoked the IEEPA, citing "unusual and extraordinary" threats in times of national emergencies as justification for these actions.