US Supreme Court Rejects Trump Administration’s Request to Halt Foreign Aid Payments

A divided US Supreme Court on Wednesday rejected the Trump administration’s request to maintain a freeze on billions of dollars in congressionally approved foreign aid. The Court did not specify when the funds must be released, allowing the administration to continue challenging the issue in lower courts.

The 5-4 ruling saw Chief Justice John Roberts joining Justices Amy Coney Barrett, Elena Kagan, Sonia Sotomayor, and Ketanji Brown Jackson in the majority. Justices Samuel Alito, Clarence Thomas, Neil Gorsuch, and Brett Kavanaugh dissented.

The majority noted that since a court-ordered deadline to disburse the funds had already passed, lower courts should clarify what obligations the government must fulfill to comply with the temporary restraining order. The ruling doesn’t require immediate payment of up to $2 billion in foreign aid; it simply allows the district court to potentially compel those payments with more specific instructions about which contracts must be honored.

In his dissent, Justice Alito wrote that he was “stunned” by the Court’s decision to permit a lower-court judge to order the administration to unfreeze the foreign aid. Analysts suggest this split indicates the Court may remain divided along similar lines in other significant Trump-related cases already in progress.

At issue are billions in foreign aid from the State Department and USAID that President Trump froze in January as part of efforts to reduce spending and align these agencies with his administration’s priorities. Several nonprofit organizations that depend on this funding for global health and other programs filed suit, arguing the administration’s actions usurped Congress’s constitutional authority over government spending and violated federal law regarding agency decision-making.

The nonprofit groups described the administration’s actions as having a “devastating” impact, stating that the funding “advances US interests abroad and improves – and, in many cases, literally saves – the lives of millions of people across the globe” while helping “stop problems like disease and instability overseas before they reach our shores.”

In a separate development, President Trump announced Wednesday a one-month pause on tariffs for vehicles imported from Canada and Mexico. This follows a 25% tariff imposed on America’s closest trading partners the previous day that unsettled stock markets and drew criticism from industry.

White House Press Secretary Karoline Leavitt stated that after discussions with the three largest automakers (General Motors, Ford, and Stellantis), a one-month exemption would be granted for vehicles imported under the United States- Mexico- Canada Agreement. Other trade-related tariffs potentially affecting the auto industry will still take effect on April 2.

When asked about the limited timeframe of the reprieve, Leavitt explained that President Trump expects automakers to relocate production to the United States, telling them to “get on it, shift production here to America where they will pay no tariffs.”

The president declined broader relief for Canada despite outreach from Prime Minister Justin Trudeau. On Truth Social, Trump wrote that he had spoken with Trudeau but remained unconvinced that Canada had adequately addressed fentanyl trafficking across the border. “Many people have died from Fentanyl that came through the Borders of Canada and Mexico, and nothing has convinced me that it has stopped,” Trump wrote, adding, “He said that it’s gotten better, but I said, ‘That’s not good enough.'”

Separately, officials familiar with the matter told the Financial Times that the US has suspended intelligence sharing with Ukraine, potentially significantly hampering Ukrainian military capabilities to target Russian forces. This follows Monday’s decision by the Trump administration to suspend military aid deliveries to Ukraine amid deteriorating relations between President Trump and Ukrainian President Volodymyr Zelenskyy.

US intelligence cooperation has been crucial for Ukraine’s ability to identify and strike Russian military targets. While the US has formally prohibited allies from sharing American intelligence with Ukraine, sources indicate that some entities with assets in Ukraine might continue providing certain information to Kyiv, though this wouldn’t include time-sensitive intelligence needed for precision strikes against mobile Russian targets.

Relations between Washington and Kyiv deteriorated after a contentious Oval Office meeting between Presidents Trump and Zelenskyy, though there have been recent signs of improvement. On Tuesday, Zelenskyy expressed regret over the televised meeting, stating Ukraine was “ready to come to the negotiating table as soon as possible.” He also indicated a willingness to sign an agreement giving the US rights to profit from Ukraine’s natural resources.

In his State of the Union address Tuesday, Trump—who previously called the democratically elected Zelenskyy a “dictator”—acknowledged appreciating the Ukrainian leader’s words. On Wednesday, US National Security Adviser Mike Waltz suggested military aid to Ukraine might resume, saying, “I think if we can nail down these negotiations and move towards these negotiations, and, put some confidence-building measures on the table, then the president will take a hard look at lifting this pause.”

Meanwhile, tensions between the US and China have escalated after Trump imposed additional tariffs on Chinese goods. China retaliated with 10-15% tariffs on US agricultural products. In a statement posted on X, the Chinese embassy in Washington said: “If war is what the US wants, be it a tariff war, a trade war or any other type of war, we’re ready to fight till the end.”

This represents some of the strongest rhetoric from China since Trump took office and coincides with the opening of China’s annual National People’s Congress. Chinese leaders are projecting confidence that their economy can grow despite trade war threats while portraying China as stable and peaceful compared to the US, which Beijing characterizes as being involved in conflicts in the Middle East and Ukraine.

China may seek to capitalize on tensions between the US and allies like Canada and Mexico, which have also been affected by tariffs. While China has previously emphasized military preparedness, particularly regarding Taiwan, the current rhetoric specifically addresses economic conflicts.

The Chinese foreign ministry also rejected US claims about fentanyl, calling it “a flimsy excuse to raise US tariffs on Chinese imports” and stating that “intimidation does not scare us. Bullying does not work on us. Pressuring, coercion or threats are not the right way of dealing with China.”

US-China relations, already among the world’s most contentious, could further deteriorate. Initial hopes for improved ties had emerged after Trump invited President Xi to his inauguration and claimed they had “a great phone call” just before he entered office. However, a reported follow-up call last month did not materialize.

China faces significant economic challenges, including low consumption, a property crisis, and unemployment. Chinese leaders have pledged billions in economic support as delegates attend the National People’s Congress.

While China maintains the world’s second-largest military budget at $245 billion, it remains substantially smaller than that of the US. Beijing allocates 1.6% of its GDP to military spending, considerably less than the US or Russia, according to the Stockholm International Peace Research Institute, though analysts believe China underreports its defense expenditures.