Court Rules Trump’s Trade Tariffs Unlawful
In a landmark decision, a three-judge panel from the U.S. Court of International Trade has ruled that Trump’s trade tariffs are unlawful, delivering a major legal setback to the former president’s economic agenda. The court found that Donald Trump overstepped his authority under the International Emergency Economic Powers Act (IEEPA). It declared the tariffs “contrary to law.”
The decision strikes down tariffs introduced in April across more than 50 countries. According to the court, Trump’s broad and ongoing use of emergency powers lacked proper legal grounding. IEEPA was meant to handle real national threats—not to serve as a tool for setting economic policy.
The judges made it clear: IEEPA does not override Congress’s control over trade and taxation. “The President’s assertion of tariff-making authority… exceeds any tariff authority delegated under IEEPA,” they wrote.
Moreover, they stressed that IEEPA cannot give the president unlimited power, especially when that power avoids Congressional checks. This is the first time a court has clarified the limits of presidential tariff power under IEEPA. As a result, the ruling sets an important precedent.
The case was brought by two groups. One included small business owners, and the other consisted of 12 Democratic attorneys general. They argued that Trump’s claim—that the trade deficit was a national emergency—had no solid legal or economic basis. The court agreed. It found the justification unconvincing under the law.
In response, the Trump administration has filed an appeal. It also plans to request a stay of the ruling. White House spokesperson Kush Desai criticized the decision, stating, “Unelected judges should not determine how a president responds to a national emergency.”
Separation of Powers at the Center of Legal Battle
This ruling contrasts with a separate decision from a Florida judge in May. That judge, appointed by Trump, showed some support for executive tariff powers but passed the case to the trade court.
Now, the legal fight moves to the U.S. Court of Appeals for the Federal Circuit. Eventually, it may reach the Supreme Court. At stake is a key question: how far can a president go in using emergency powers to shape trade policy?
