In a significant check on presidential power, a U.S. federal appeals court has ruled that Donald Trump’s broad tariffs, imposed under the guise of a national emergency, are illegal. The decision condemns the former president’s attempt to use legislation designed for foreign policy crises to enact a sweeping protectionist trade strategy.
The court’s 7-4 majority concluded that the International Emergency Economic Powers Act (IEEPA) does not authorize the president to unilaterally impose tariffs. Trump had invoked the act by citing the U.S. trade deficit as an “unusual and extraordinary threat,” a justification the court found was outside the scope and intent of the 1977 law.
This verdict threatens to upend the global trade landscape shaped by the Trump administration. Informal agreements with major trading partners, which were secured by using the now-illegal tariffs as leverage, are suddenly on unstable ground. The ruling affirms that Congress, not the White House, holds the primary authority for setting duties on imports.
An appeal to the Supreme Court is forthcoming, but the appeals court’s strong language against executive overreach sends a powerful message. It also opens the possibility of billions of dollars in tariff refunds for American businesses, a complex process that will now be considered by lower courts. The case highlights the ongoing tension between presidential action and congressional oversight.
Trump’s Global Tariffs Illegal, Court Finds in Rebuke of Executive Overreach
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