Dear Customers, Colleagues, and Friends,
We are issuing this brief advisory to inform you of breaking news from the U.S. Supreme Court regarding the legality of broad tariffs imposed under the International Emergency Economic Powers Act (IEEPA). This is very recent, and formal guidance from U.S. Customs and Border Protection (CBP) has not yet been issued.
Supreme Court Ruling — What Happened
On February 20, 2026, in a 6-3 decision, the U.S. Supreme Court held that the International Emergency Economic Powers Act (IEEPA) does not authorize the President to impose broad tariffs on imports, including the so-called “reciprocal” and other emergency tariffs that were imposed under prior national emergency declarations.
The Court’s opinion reasons that tariff authority — including setting rates and conditions for import duties — is constitutionally vested in Congress, and that IEEPA does not grant the President the power to impose sweeping tariffs under a national emergency.
What This Means Today
The ruling directly addresses the legal foundation for the IEEPA tariffs that had been in place on a wide range of imports. This decision is very new and not yet reflected in any CBP compliance messaging (e.g., CSMS). Therefore, for the foreseeable future until further guidance is issued, the existing tariffs should continue to be treated as in effect for entry and duty reporting.
This ruling does not address Section 232, Section 301, ADD/CVD or other tariff measures implemented.
Important Notes for Importers
CBP has not yet published a CSMS message updating tariff enforcement or suspending collection. Until such instructions are issued, entries should be filed and duties reported in the usual manner. No automatic suspension has occurred — the ruling affects the legal basis for the tariffs, but administrative implementation remains unchanged for now. It may take weeks or longer for CBP and the Office of the U.S. Trade Representative to clarify how or whether tariff collections will be modified, suspended, or refunded.
We will continue to track all detailed guidance and will notify you as further regulatory instructions are released. In the meantime, if you have any questions or would like to discuss potential impacts on your shipments or sourcing strategy, our team at Krenz & Hannan is ready to assist.
Sincerely, Your friends at Krenz and Hannan International