ORO VALLEY, Ariz. (KGUN) — The U.S. Supreme Court ruled 6-3 on Friday that President Donald Trump could not use emergency powers to impose sweeping global tariffs, striking down a key part of his trade policy.
But the administration quickly enacted a new 10% global tariff under a different law — Section 122 of the Trade Act of 1974 — keeping import taxes in place for businesses that rely on overseas goods.
For some small businesses in Southern Arizona, the legal shift has done little to ease uncertainty.
At Jack Furrier Tire and Auto Care in Oro Valley, manager Troy Stevenson said he has seen costs rise over the past year on tires, parts and service-related items.
“We’ve seen slightly higher prices on tires and parts and service fees. It’s slowly climbing,” Stevenson said.
When KGUN 9 first spoke with Stevenson last year, he expressed concern that tariffs on imported tires and car parts could drive up prices. With the Supreme Court striking down the emergency tariffs and a new 10% import tax now in effect, Stevenson said the impact is still being felt.
“Hopefully if we could get some money back on that so that we can lower some of our supply costs and operating fees and get the prices to come back down,” he said.
Stevenson said many of the products his shop relies on — including tires and various auto parts — come from Mexico, South America and Asia. Even modest increases in import costs can add up, he said, especially amid ongoing supply chain challenges.
“There’s always a new policy, one after another. And it’s hard to keep up with that stuff, so predictability would be nice. It’s really getting almost too hard. We’re working hard right now for what we got,” Stevenson said.
The Supreme Court’s ruling invalidated tariffs imposed under the 1977 International Emergency Economic Powers Act. The administration has since turned to Section 122, which allows temporary tariffs of up to 15% for 150 days unless Congress intervenes.
In response to the ruling, Trump defended his trade policy, saying, “They got it really wrong,” during his State of the Union address.
The court’s decision has also sparked discussion in Washington about potential refunds. Democratic lawmakers have proposed requiring the federal government to return billions of dollars collected under the invalidated emergency tariffs, with interest, to businesses that paid the duties. If enacted, refunds would go to importers, who could choose to pass some savings along to consumers.
However, the timeline and likelihood of refunds remain uncertain. Trump has signaled the issue could face further legal challenges, and Congress would likely need to act to mandate repayment.
For Stevenson, the debate in Washington is secondary to day-to-day operations.
With trade policy continuing to shift, he said, the bigger issue is not just the tariff rate, but the lack of predictability for small businesses trying to plan ahead.
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Kenny Darr is a reporter for KGUN 9. He joined the team in January 2023. Before arriving in Arizona he was an Anchor and Reporter at KADN in Lafayette, LA. Share your story ideas with Kenny by emailing kenny.darr@kgun9.com or by connecting on Facebook, Instagram or Twitter.
