The International Emergency Economic Powers Act (IEEPA) is a 1977 federal law that grants the President authority to regulate international commerce during a declared national emergency. It has traditionally been used for sanctions, but the Trump administration used it in 2025 to impose reciprocal tariffs on imports from dozens of countries.

Are IEEPA tariffs the same as Section 301 tariffs?

No. IEEPA tariffs (reciprocal tariffs) and Section 301 tariffs (primarily on China) use completely different legal authorities. Only IEEPA tariffs are being challenged in the current Supreme Court case. Section 301 and Section 232 tariffs are not affected.

IEEPA (International Emergency Economic Powers Act)

The International Emergency Economic Powers Act (IEEPA) is a federal law enacted in 1977 (50 U.S.C. §§ 1701–1707) that grants the President broad authority to regulate international commerce during a declared national emergency. In 2025, the Trump administration invoked IEEPA to impose reciprocal tariffs on imports from dozens of countries — a use of the law that is currently being challenged before the U.S. Supreme Court.

What IEEPA Authorizes

IEEPA gives the President power to:

Block or regulate any financial transaction involving foreign interests
Freeze foreign assets within U.S. jurisdiction
Restrict imports and exports during a national emergency
Impose economic sanctions on foreign nations, entities, or individuals

The law requires the President to first declare a national emergency under the National Emergencies Act before exercising IEEPA powers. Historically, IEEPA has been used primarily for sanctions programs (e.g., against Iran, North Korea, Russia) rather than for imposing tariffs.

IEEPA and Tariffs

In early 2025, the administration used IEEPA to impose "reciprocal tariffs" on imports from 57 countries, arguing that trade deficits constituted a national emergency. These tariffs are separate from and stack on top of:

Tariff Type	Legal Authority	Status
IEEPA reciprocal tariffs	50 U.S.C. § 1702	Under SCOTUS review
Section 301 tariffs (China)	Trade Act of 1974	Not affected by case
Section 232 tariffs (steel/aluminum)	Trade Expansion Act of 1962	Not affected by case
MFN base duty rates	Tariff Act of 1930	Not affected by case

The Supreme Court Challenge

The legality of using IEEPA to impose tariffs is being challenged in V.O.S. Selections, LLC v. Trump (consolidated with Learning Resources, Inc. v. Trump):

May 2025: The U.S. Court of International Trade (CIT) ruled that IEEPA does not authorize the President to set tariffs, permanently enjoining enforcement
August 2025: The Federal Circuit Court of Appeals affirmed the CIT ruling en banc
September 2025: The Supreme Court granted certiorari
November 5, 2025: Oral arguments held — justices from both ideological wings expressed skepticism about the government's position
February 2026+: Ruling expected on any opinion day starting around February 20

The case centers on two constitutional doctrines: the major questions doctrine (Congress must speak clearly when delegating authority over issues of vast economic significance) and the non-delegation doctrine (Congress cannot give away its legislative powers).

What It Means for Importers

If the Supreme Court strikes down IEEPA tariffs, importers who paid reciprocal tariffs may be eligible for refunds through the CBP protest process. Key considerations:

Only IEEPA/reciprocal tariffs would be affected — Section 301 and Section 232 tariffs use different legal authority
Entries must be either unliquidated or have timely filed protests (within 180 days of liquidation)
CBP must liquidate entries within 314 days of the date of entry
The administration would likely attempt to reimpose tariffs under different legal authority