US Court Rules Trump’s Tariffs are Mostly Illegal

By Staff, Agencies

A divided US Court of Appeals for the Federal Circuit ruled on Friday that most of US President Donald Trump’s tariffs are illegal, dealing a major blow to a central pillar of his economic and trade agenda. The court allowed the tariffs to remain in place until October 14, giving the Trump administration time to file an appeal before the Supreme Court.

The 7-4 decision from the US Court of Appeals in Washington, DC, concluded that the International Emergency Economic Powers Act [IEEPA] does not grant presidents the authority to impose tariffs. Six Democratic-appointed judges formed the majority, while two Republican-appointed judges dissented.

The ruling addressed two sets of levies: Trump’s so-called “reciprocal” tariffs imposed in April and additional tariffs in February against China, Canada, and Mexico. The court clarified that other tariffs, such as those on steel and aluminum imports, remain unaffected.

Trump had justified both sets of tariffs under IEEPA, a 1977 law typically used to impose sanctions or freeze assets during national emergencies. The court stated that while the statute gives presidents significant powers, it does not explicitly authorize tariffs or taxation.

“The statute bestows significant authority on the President … but none of these actions explicitly include the power to impose tariffs, duties, or the like, or the power to tax,” the ruling noted.

The Trump administration argued that IEEPA’s emergency provisions allow tariffs as part of regulating or blocking imports. Trump had declared a national emergency in April, citing trade imbalances and the cross-border flow of drugs, and argued that tariffs on China, Canada, and Mexico were necessary to curb fentanyl trafficking, an accusation those governments deny.