U.S. Treasury Secretary Scott Bessent expressed strong optimism after attending the Supreme Court hearing on the legality of former President Donald Trump’s sweeping tariffs. Speaking on Fox Business Network’s “Kudlow,” Bessent said he believed the plaintiffs opposing Trump’s use of a 1977 law to justify tariffs “almost embarrassed themselves,” adding that he was confident the Court would overturn a lower ruling that declared the tariffs illegal.
During over two and a half hours of arguments, both conservative and liberal justices questioned whether the 1977 International Emergency Economic Powers Act (IEEPA) legitimately granted Trump authority to impose tariffs or if he overstepped Congress’s powers. Chief Justice John Roberts pointedly told U.S. Solicitor General D. John Sauer that tariffs are essentially “taxes on Americans,” a power historically reserved for Congress.
The tariffs—taxes on imported goods paid by U.S. importers—could generate trillions of dollars in revenue over the next decade. However, the Constitution grants Congress the authority over taxation and tariffs, making the case pivotal for separation of powers.
Asked about the potential challenge of refunding funds already collected if the ruling goes against the administration, Bessent said, “We’ll cross that bridge if we come to it, but I’m confident we won’t have to.” He added that the tariff revenue was a “shrinking ice cube,” declining over time as domestic manufacturing rises, balancing lost tariff income with increased tax revenue from U.S. businesses.
Trump has urged the Supreme Court to preserve the tariffs, which he views as vital to his economic and foreign policy strategy. If struck down, the decision would mark a major shift for a court that has often sided with Trump in key policy disputes, including immigration and executive authority.