On Feb. 20, the United States Supreme Court ruled in the consolidated case Learning Resources, Inc. v. Trump that the International Emergency Economic Powers Act (IEEPA) does not grant the President of the United States the authority to impose tariffs.
The ruling found almost all the major tariffs implemented by the current administration were unlawful, including wide-ranging, nation-scale “reciprocal” tariffs announced in April of 2025 and numerous other tariffs targeting individual nations.
Notably, the majority opinion was silent on the nature and scope of relief or refunds owed as a result of the decision. As such, lower courts will likely need to resolve open questions on these issues in the coming weeks and months.
In a press conference immediately following issuance of the decision, President Donald Trump indicated that he would sign an executive order to implement a new 10 percent global tariff under Section 122 of the 1974 Trade Act. Tariffs issued under this authority are limited in scale (up to 15 percent) and duration (up to 150 days), require Congressional approval for extension, and may be subject to separate legal challenges.
Trump stated that refunds following the decision would need to flow through the court system over time, but in this press conference he did not expressly state that the administration would refuse to refund IEEPA tariffs paid prior to today’s decision from the Supreme Court.
“The Supreme Court’s decision provides tariff relief for many goods, including imported unavailable natural resources and specialized manufacturing equipment for which AHPA has consistently sought common sense treatment since last spring,” said American Herbal Products Association (AHPA) President and CEO Graham Rigby. “While we await clarity on refunds for duties already paid by our members and the wider industry, AHPA remains committed to advocating for trade policies that support American businesses and ensure continued consumer access to safe, well-regulated dietary supplements and natural products.”
For more information, visit www.ahpa.org.
