The United States Supreme Court issued a landmark decision with significant impact on international trade by invalidating most of the reciprocal tariffs imposed by the U.S. government under the IEEPA – International Emergency Economic Powers Act.

By a 6–3 majority, the Court held that the use of IEEPA as the legal basis for the broad imposition of tariffs did not comply with the statutory limits established under U.S. law. The ruling reaffirms the Supreme Court’s institutional independence and clarifies the scope of Executive authority in matters of emergency trade policy.

What changes in practice? The so-called reciprocal tariffs, established by Executive Order on July 30, 2025, are no longer applicable. Brazilian products that had been affected by these additional tariffs will no longer be subject to such charges.

However, tariffs imposed under Section 232 of the Trade Expansion Act of 1962 remain in force, particularly those applied to steel, aluminum, and certain derivative products, as they are based on a distinct legal foundation related to national security.

The decision does not eliminate all existing tariff measures, but it significantly reshapes the regulatory and legal landscape of U.S. imports, bringing greater predictability for exporters and international trade operators.