The U.S. Supreme Court ruling on tariffs has drawn formal response from the National Retail Federation (NRF), as businesses and trade groups assess potential impacts on global supply chains, import costs, and tariff refunds.
The court’s decision addresses the legal basis for sweeping tariffs imposed under the International Emergency Economic Powers Act (IEEPA) and clears a path to challenge the tariffs that had been levied on imports across multiple sectors.
Supreme court decision and implications for trade policy
On 20 February 2026, the Supreme Court ruled that former President Donald Trump lacked statutory authority under IEEPA to impose broad import tariffs, overturning the legal justification for emergency tariff measures introduced in 2025.
The case, Learning Resources, Inc. v. Trump, centred on whether IEEPA authorises the executive branch to set tariffs without direct congressional approval. The court’s majority, in an opinion by Chief Justice John Roberts, concluded that the law did not grant the necessary authority.
NRF’s statement noted that the ruling provides “much-needed certainty for U.S. businesses and manufacturers”, allowing global trade and supply chain planning to proceed without unresolved legal risk.
The federation argued that consistent trade rules are vital for economic growth and jobs.
Tariff refunds and business response
While the Supreme Court’s ruling invalidated the legal basis of the IEEPA tariffs, it did not specify how companies should reclaim duties already paid. Legal experts say the process for tariff refunds may be lengthy and administratively complex.
Trade groups and firms are preparing to pursue refunds through the U.S. Court of International Trade and administrative filings, with hundreds of cases already pending or expected to grow.
Counsel in the tariff refunds battle forecast an increased volume of litigation as importers seek fiscal relief.
Industry associations broadly welcomed the ruling as a step towards predictable trade policy. Reuters noted comments from groups across retail and logistics sectors emphasising the need for clarity in tariff levels to support investment and operations.
Wider economic and international context
The tariff decision has also been reflected in broader markets and diplomatic reactions. Stock indices such as the Dow Jones and Nasdaq posted gains following the news, reflecting investor relief at the reduction in trade policy uncertainty.
Internationally, governments including the UK have said they expect continued favourable trade ties with the United States, though questions remain about how already collected tariffs and potential refunds will affect exporters.
For global companies, the ruling marks a pivotal moment in how trade disputes and import tax disputes are resolved. The emphasis on established legal authority for tariff-setting may influence future trade policy debates and negotiations with key partners.
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