The International Emergency Economic Powers Act (IEEPA) is a United States federal law that grants the President authority to regulate international commerce after declaring a national emergency. Enacted on December 28, 1977, as Title II of Pub. L. 95–223, the IEEPA was created to clarify and restrict the President's emergency economic powers, which had previously been broad and long-lasting under the Trading with the Enemy Act of 1917 (TWEA). The problem it solved was the unchecked presidential power to declare emergencies without limiting their scope or duration, which had been a practice since 1933 under the TWEA.
The IEEPA, codified in the United States Code as 50 U.S.C. §§1701–1707, works by authorizing the President to declare an "unusual and extraordinary threat" to the national security, foreign policy, or economy of the United States, provided the threat originates "in whole or substantial part outside the United States". Once a national emergency is declared, the President can impose a range of economic measures, including blocking transactions, freezing assets, and regulating imports and exports. The President is required to report to Congress every six months on the circumstances and actions taken. A key limitation is that the IEEPA does not grant the power to confiscate or "vest" foreign assets, which remains largely under the TWEA for declared wars.
The IEEPA is a cornerstone of U.S. economic sanctions policy, with the Office of Foreign Assets Control (OFAC) of the U.S. Treasury Department administering and enforcing most actions taken under the Act. It is connected to the National Emergencies Act (NEA), which requires that any emergency declared under the IEEPA must be renewed annually to remain in effect. A significant recent change occurred in February 2026, when the U.S. Supreme Court ruled in Learning Resources, Inc. v. Trump that the IEEPA did not authorize the President to impose broad tariffs. This decision reversed tariffs that had been implemented by the Trump administration starting in February 2025 and clarified that the power to impose tariffs generally rests with Congress. The ruling led to the creation of the Consolidated Administration & Processing of Entries (CAPE) system by U.S. Customs to process refunds for the invalidated IEEPA duties.