US to stop collecting Trump tariffs ruled illegal by supreme court | First Thing

The Guardian World

by Nicola Slawson

February 23, 2026

AI-Generated Deep Dive Summary

The U.S. government has announced it will cease collecting tariffs that were deemed illegal by the Supreme Court, as they were imposed under emergency powers. This decision comes amid investor uncertainty following President Trump's recent implementation of alternative levies. The move has sparked significant market reactions, with gold prices surging to their highest level since late January, reflecting investor sentiment toward safe-haven assets. Bitcoin experienced volatility, dropping sharply before partially recovering, while U.S. stock futures showed a modest decline. The tariffs in question were part of a broader strategy by the Trump administration to assert authority through emergency powers, bypassing traditional legislative processes. The Supreme Court's ruling highlights a constitutional challenge to such measures, underscoring ongoing tensions between executive and judicial branches over the use of extraordinary powers. While authorities have halted collection, there remains no clarity on potential refunds for those who paid the tariffs, leaving businesses and individuals in limbo. Investors are closely monitoring these developments, as they could signal broader shifts in U.S. trade policy and international relations. The stock markets' response—gold's rally, Bitcoin's fluctuations, and a dip in S&P 500 futures—indicates heightened uncertainty and risk aversion among investors. This situation also raises questions about the long-term implications for global trade agreements and economic stability. For readers interested in world politics and economics, this story underscores the delicate balance of power within the U.S. government and the potential ripple effects on international markets. The legal battle over these tariffs not only reflects internal political struggles but also has far-reaching consequences for global trade dynamics. As this matter evolves, it will likely continue to influence investor behavior and shape the economic landscape.

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Originally published on The Guardian World on 2/23/2026