The U.S. Court of International Trade has ruled that the import tariffs introduced by former President Donald Trump were unlawful and violated the U.S. Constitution. A three-judge panel unanimously determined that Trump’s executive orders on tariffs were unconstitutional, reports Baltimore Chronicle, referring to Financial Times.
The court found that Trump lacked the legal basis under the International Emergency Economic Powers Act (IEEPA), which he cited to justify the imposition of tariffs. According to the U.S. Constitution, only Congress holds the authority to establish tariffs.
The court’s decision stated that the orders for “global” and “mirrored” tariffs exceeded any powers granted to the president to regulate imports through customs duties and must therefore be declared invalid.
Specifically, the ruling addressed Trump’s 25% tariffs on imports from Canada and Mexico, 20% duties on Chinese goods, and a 10% tariff applied to imports from all U.S. trading partners. These tariffs were justified by the Trump administration as measures to reduce the national trade deficit.
The court also struck down “reciprocal” tariffs ranging from 20% to 50% on goods from 60 countries. These tariffs were scheduled to take effect on July 9 if the foreign governments failed to reach an agreement with the White House by that date.
Oregon Attorney General Dan Rayfield, who along with 11 other state attorneys general filed a lawsuit challenging Trump’s tariff policies, stated that the decision reaffirms the principle that the Constitution does not grant any president unchecked power to undermine the economy.
A White House spokesperson condemned the court’s decision, asserting that President Trump had promised to put America first and that his administration was determined to use all executive tools to resolve the crisis and restore national strength.
Within minutes of the ruling, the Trump administration filed an appeal.
Earlier we wrote that Trump imposes 25% tariff on imported smartphones.