Supreme Court limits Trump tariffs, but CFOs still face a volatile trade landscape

Fortune

by Sheryl Estrada

February 23, 2026

AI-Generated Deep Dive Summary

The Supreme Court’s recent ruling on President Trump’s tariff authority has significant implications for businesses and finance chiefs navigating the volatile trade landscape. In a 6–3 decision, the justices struck down portions of tariffs imposed on steel, aluminum, and certain Chinese imports, arguing that Trump exceeded his authority by using the International Emergency Economic Powers Act to levy these duties throughout much of 2025. This ruling not only limits executive power but also shifts the operating environment for companies dealing with trade policy uncertainty. For businesses, especially small and midsize operations like Trim-Tex—a family-owned manufacturer in Illinois—the impact has been substantial. The company reported a 10% decline in sales from 2024 to 2025 due to tariffs and related market disruptions. Tariffs on key inputs, such as softwood lumber, coupled with tighter immigration policies, have squeezed profitability and created operational challenges. CFOs, already grappling with trade policy concerns, must now carefully reassess their pricing strategies and cost management plans. Experts advise caution for U.S. retailers, importers, and exporters, urging them not to rush adjustments following the court’s decision. Tariffs remain a top concern for finance chiefs, as highlighted by the Q4 2025 CFO Survey. Companies like Walmart are closely monitoring tariff impacts, with operating income growth expected to lag due to ongoing expense challenges from imported goods. Despite the Supreme Court’s ruling, Trump announced new tariffs within days—first setting a 10% global rate and then increasing it to 15%, further complicating trade relations. This unpredictability underscores the broader challenge for businesses: managing an unsettled outlook for 2026, where tariffs and trade policy will likely remain central to cost management and pricing decisions. For readers interested in business, this highlights the ongoing financial strain and uncertainty caused by shifting trade policies, making it a critical issue to watch in the coming year.

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Originally published on Fortune on 2/23/2026