NSBA PRESS | SCOTUS Ruling Against Tariffs Eases Small Business Burden

A long-awaited decision, on Feb. 20, 2026, the Supreme Court of the United States (SCOTUS) issued a ruling against President Trump's use of tariffs under IEEPA authority, easing burdens for small businesses and NSBA members.

FOR IMMEDIATE RELEASE 

Feb. 20, 2025 

CONTACT | Molly Brogan 

202-552-2904 mbrogan@NSBAadvocate.org

Washington, D.C. – On Feb. 20, the Supreme Court of the United States (SCOTUS) ruled 6-3 against the administration’s recent tariffs, citing that the International Emergency Economic Power Act (IEEPA) does not authorize the President to levy tariffs—something Congress is charged with overseeing. Since last year, when President Trump began assessing tariffs on foreign goods and services, NSBA has warned of the potentially significant impact on small businesses.  

Below is a statement from NSBA President and CEO Todd McCracken. 

“NSBA’s members are extremely diverse with varying opinions on the tariffs. While there’s a fairly equal split among small-business owners who say they’re impacted and those who are not, two-thirds say they have incurred increased costs in the past year, according to our forthcoming 2026 Economic Report. Among those who have incurred increased costs, three-in-four say those increases are due to the new tariffs. 

“The bigger issue for NSBA’s members—beyond those directly or even indirectly impacted—is the economic instability the tariffs and the lack of predictability these policies have created. Economic insecurity is the number one challenge small businesses are facing today, it impacts business sustainability and growth, the ability to access financing and a whole host of other factors that disproportionately harm small businesses.  

“Rather than launch knee-jerk new tariffs in response, small business needs pragmatic policy that avoids greater uncertainty. 

“While NSBA certainly appreciates efforts to promote America-made products and services, around half of respondents to our aforementioned report say they believe U.S. trade and tariff policy is on the wrong track, while just 1/3 say it’s on the right track and one-in-five aren’t sure. I encourage the administration and lawmakers to seek long-term, bipartisan solutions to ensure economic stability and prosperity for America’s job creators.” 

Please follow NSBA at @NSBAadvocate for details and reach out to our media affairs department for additional information. 

Celebrating nearly 90 years in operation, NSBA is a staunchly nonpartisan organization advocating on behalf of America’s entrepreneurs. NSBA's 65,000 members represent every state and every industry in the U.S. Please visit www.NSBAadvocate.org or follow us at @NSBAAdvocate. 

###