Trump tariffs blocked: Court rules against presidential overreach
The federal trade court has blocked most of President Donald Trump's tariffs and ordered the administration to stop collecting them, reports CNBC. The Court of International Trade ruled that Trump exceeded the powers granted by the International Emergency Economic Powers Act.
The three-judge court in Manhattan halted the tariffs unilaterally imposed by Trump on Canada, Mexico, and China, which the White House had implemented due to the fight against drug trafficking.
"This ruling represents a setback for the administration’s tariff plans and increases uncertainty but might not change the final outcome for most major US trading partner," CNBC emphasizes.
Donald Trump's administration immediately appealed to the United States Court of Appeals for the Federal Circuit. The final say in this matter may belong to the Supreme Court.
Stephen Miller, the Deputy Chief of Staff for Policy at the White House, described it as a "judicial coup."
"Exceeding authority"
The judges ruled that the International Emergency Economic Powers Act, which Trump cited to impose the tariffs, does not authorize the president to impose broad tariffs on imports.
Separate tariffs on Canada, Mexico, and China related to drug trafficking fail because they do not deal with the threats set forth in those orders," the judges wrote. They added that implementing tariffs requires congressional approval, which Trump did not obtain. The U.S. president declared a national economic emergency under the IEEPA, which came into force in 1977, and then used the alleged emergency to exclude Congress from the process.
The White House has 10 days to comply with the court's order. "Several existing tariffs on specific products like aluminum and steel are not impacted by Wednesday’s ruling, because the president did not invoke IEEPA powers to justify their necessity," the judges emphasized.
White House spokesperson Kush Desai responded that "it is not for unelected judges to decide how to properly address a national emergency."
One of the main plaintiffs in the case, Oregon Attorney General Dan Rayfield, called the ruling "a victory not just for Oregon, but for working families, small businesses, and everyday Americans."
"President Trump’s sweeping tariffs were unlawful, reckless, and economically devastating," Rayfield wrote in a statement, cited by CNBC.
