The conservative-majority court on a 5-4 vote with the court's liberals in dissent blocked in full a ruling by a federal judge in California barring the Republican president from spending the money on the basis that Congress did not specifically authorise the funds to be spent on the wall project fiercely opposed by Democrats and Mexico's government.
The American Civil Liberties Union (ACLU) filed suit against the administration on behalf of the environmental group Sierra Club and the Southern Border Communities Coalition, which represents organisations from San Diego to southeastern Texas.
Several environmental groups have also campaigned against the construction of the wall claiming it would have a negative impact on wildlife.
That decision means the Pentagon funds can be tapped for now, so work can begin on four contracts that had already been awarded, which President Trump immediately tweeted was a major win for his signature campaign promise. At least for the moment, Trump can therefore continue to divert the funds for wall construction until the lower courts (and possibly the Supreme Court) issue a final decision on the case.
US House Speaker Nancy Pelosi called the apex court ruling "deeply flawed".
The injunction was put in place to prevent the transfer of funds while the case was appealed.
The justices who lifted the freeze on the money did not give a lengthy explanation for their decision, but said among the reasons they were doing so was that the government had made a "sufficient showing at this stage" that those bringing the lawsuit do not have a right to challenge the decision to use the money.
The choice by the Supreme Court manner that the money will seemingly be former for wall initiatives in California, Arizona and Unusual Mexico.
A Border Patrol officer guards the U.S. -Mexico border fence in Nogales, Ariz., in February.
Democrats claimed Mr Trump's formula to converse an emergency exceeded his powers below the USA constitution.
A trial court docket within the starting up iced up the funds in Would per chance and an appeals court docket saved that freeze in tell earlier this month.
"We are pleased with the Supreme Court's decision", Pentagon spokeswoman Cmdr.
[Francisco] said that the funds are necessary to permit the construction of more than 100 miles of fencing in areas the government has identified as "drug-smuggling corridors" where it has seized "thousands of pounds of heroin, cocaine and methamphetamine" in recent years.
Trump resorted to tapping funds from the Defense Department funds after failing to persuade Congress to appropriate more money for the wall in a standoff that led to a 35-day-long partial shutdown of the federal government.
The Trump administration claims the decrease is as a result of unique insurance policies with Mexico to curb migration, including elevated safety on the Mexican facet of the border, and the growth of a design that makes asylum seekers wait in Mexico whereas their cases are being processed.
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