Supreme Court voids Trump 10% tariffs; Amazon, Etsy, Shopify jump as Trump vows new levy
The US Supreme Court ruled 6-3 that the International Emergency Economic Powers Act (IEEPA) does not authorize broad import tariffs, voiding a 10% global levy imposed in April 2025. The decision cited the major questions doctrine and Chief Justice Roberts emphasized that significant economic measures require clear congressional approval. Roughly $142 billion was collected under the tariff framework in 2025 and could be subject to refund claims. The ruling also reverses the removal of the de minimis exemption, restoring duty-free entry for many low-value imports used by sellers on platforms such as Etsy and Temu. Stocks of major online retailers reacted positively: Etsy jumped about 10%, Amazon and Shopify rose over 2%, while eBay, Wayfair and Pinduoduo also advanced. Retail groups said the ruling restores supply-chain certainty; Amazon CEO Andy Jassy had warned tariff costs were filtering into consumer prices. Hours after the decision, former President Donald Trump said he would seek alternative authority under the Trade Act of 1974 to impose a temporary 10% import restriction for up to 150 days and suggested other measures would follow. Key items: Supreme Court decision on IEEPA, voiding 10% tariff (≈$142B collected), reversal of de minimis change, retailer stock rallies (ETSY ~+10%, AMZN & SHOPIFY >+2%), Trump plans alternative 10% levy via Trade Act of 1974.
Neutral
Short-term market reaction is positive for e-commerce and retail equities because the court decision removes an immediate cost and regulatory uncertainty: Etsy surged ~10% and Amazon/Shopify rose >2%. For crypto markets the impact is neutral overall. The ruling reduces near-term inflation and supply-chain risk that could have pressured retail consumer demand — factors that can subtly influence crypto risk appetite — but it does not directly affect cryptocurrencies, blockchain protocols, or on-chain activity. Potential indirect channels: 1) Reduced inflationary pressure could slightly strengthen fiat purchasing power, which may modestly dampen speculative crypto inflows; 2) Refunds or fiscal impacts from $142B collected could affect government and market liquidity over time; 3) If the administration successfully reimposes tariffs under the Trade Act or other measures, renewed uncertainty could later weigh on risk assets. Historical parallels: market rallies in equities followed judicial or regulatory decisions that remove policy uncertainty (for example, court rulings that halted trade restrictions or regulatory constraints). For traders: expect a short-term risk-on move in retail and related equities, marginal and uncertain spillover into crypto. Monitor developments: (a) whether refunds materialize and their fiscal implications, (b) Trump’s next legal steps (Trade Act actions or new tariffs), and (c) any signs tariffs return that could reintroduce inflation/headwinds. Positioning advice: short-term traders may look for continued strength in e-commerce and USD-sensitive risk assets; crypto traders should remain cautious and watch volatility signals rather than change core positions based solely on this news.