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Summers Calls Trump's Tariff Emergency Powers 'Problematic' as Supreme Court Prepares to Hear Case

Thursday Nov 6 2025 00:00

2 min

Table of Contents

1. Summers Criticizes Trump's Use of Emergency Powers for Tariffs
1.1 Legal Basis for Tariffs Questioned
1.2 Trump Administration's Supreme Court Defense
1.3 Broad Definition of Emergency
1.4 Scope of Presidential Power in Trade
1.5 Tariffs Not the Right Tool
1.6 Suggested Solutions
1.7 Doubt over Emergency Justification

Summers Criticizes Trump's Use of Emergency Powers for Tariffs

Former Treasury Secretary Larry Summers has weighed in on President Trump's use of emergency powers to impose tariffs, as the Supreme Court prepares to hear a case challenging the legality of those actions. Summers argues that Trump's reliance on emergency powers in this context is "deeply problematic."

Legal Basis for Tariffs Questioned

Summers stated in an interview that the circumstances cited by Trump to justify the tariffs “don’t really reflect some kind of extraordinary event like 9/11 or the collapse of the dollar.” He further noted, “If this is the right thing to do, the president ought to be able to persuade Congress and get it done through due process.”

Trump Administration's Supreme Court Defense

The Trump administration is set to argue before the Supreme Court on Wednesday that the president has the authority under a 1977 law to impose sweeping tariffs in response to dire situations, including the national trade deficit and the widespread deaths and addiction related to fentanyl imports.

Broad Definition of Emergency

“If it’s simply that the president is worried about the current economic situation and wants to use tariffs as a tool, to define that as an emergency is pretty problematic given our democratic traditions,” said Summers, a Harvard professor and Bloomberg Television contributor.

Scope of Presidential Power in Trade

Critics point out that the International Emergency Economic Powers Act (IEEPA) does not explicitly authorize the president to use tariffs to address the conditions cited by the government, and that trade issues fall under the purview of Congress, not the executive branch.

Tariffs Not the Right Tool

Summers added that, legal arguments aside, the tariffs implemented during Trump's second term are not the right tool to address the long-term decline of American manufacturing, the fiscal deficit, or foreign debt.

Doubt over Emergency Justification

The former Treasury Secretary concluded, “It’s hard to argue that there is something about the economic situation today that we haven’t seen for most of the last 25 years, that rises to the level of justifying the use of emergency powers.”

Risk Warning: this article represents only the author’s views and is for reference only. It does not constitute investment advice or financial guidance, nor does it represent the stance of the Markets.com platform.When considering shares, indices, forex (foreign exchange) and commodities for trading and price predictions, remember that trading CFDs involves a significant degree of risk and could result in capital loss.Past performance is not indicative of any future results. This information is provided for informative purposes only and should not be construed to be investment advice. Trading cryptocurrency CFDs and spread bets is restricted for all UK retail clients. 

Written by:

Noah Lee

Summers Calls Trump's Tariff Emergency Powers 'Problematic' as Supreme Court Prepares to Hear Case

Summers Criticizes Trump's Use of Emergency Powers for Tariffs

Legal Basis for Tariffs Questioned

Trump Administration's Supreme Court Defense

Broad Definition of Emergency

Scope of Presidential Power in Trade

Tariffs Not the Right Tool

Suggested Solutions

Doubt over Emergency Justification

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