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US Court Declares Trump’s Global Tariffs Illegal in Key Ruling

US Court Declares Trump’s Global Tariffs Illegal in Key Ruling

Post by : Raman

Photo : AP

A major US court ruling has put President Donald Trump’s tariff policy under serious question. On Friday, the US Court of Appeals for the Federal Circuit ruled that many of Trump’s tariffs were illegal, saying he went beyond the legal powers given to him as president.

The court, however, decided that the tariffs would stay in place for now, until mid-October. This gives Trump time to take the case to the Supreme Court, which he has promised to do.

Trump’s Reaction

Trump reacted strongly to the decision. On his Truth Social account, he wrote that the court was “wrong” and insisted the United States would win in the end. He made it clear that he would fight back with the Supreme Court’s help.

What the Ruling Means

The court’s 7-4 decision is a serious blow to Trump, who has used tariffs as one of his biggest economic and foreign policy tools. Tariffs are special taxes placed on goods imported from other countries. Trump often called them “reciprocal tariffs,” claiming they were needed to protect American jobs and punish countries that treated the US unfairly.

Since returning to the presidency in January, Trump has placed tariffs on almost all of America’s trading partners. He used emergency powers under a law called the International Emergency Economic Powers Act (IEEPA). This allowed him to declare a national emergency and then impose tariffs at a baseline of 10 percent, with higher rates on many countries.

But the appeals court said clearly that the law does not give the president the power to impose tariffs this way. Judges explained that while the president does have wide authority during an emergency, nothing in the law mentions taxes or duties.

Impact on Trade and Diplomacy

This ruling raises big questions about global trade and US relations with allies. For example, if the tariffs are finally judged illegal, the billions of dollars already collected could have to be returned to companies.

It could also harm deals Trump struck with other nations, such as the European Union, Mexico, Canada, and China. Experts warn this may cause diplomatic embarrassment and retaliation from foreign governments.

Even Trump’s own officials admitted the danger. Commerce Secretary Howard Lutnick said the ruling could weaken US national security and cause foreign partners to cancel trade agreements. Treasury Secretary Scott Bessent warned that it could damage America’s reputation and disrupt ongoing negotiations.

A History of Controversy

This is not the first time Trump’s use of emergency powers has faced legal challenges. In May, the US Court of International Trade also ruled against his global tariffs, but that decision was paused while the appeals court reviewed it.

The latest decision does not affect Trump’s more targeted tariffs on steel, aluminum, and cars. But it clearly limits his use of broad, across-the-board tariffs that affect nearly all trading partners.

What Comes Next

Trump now plans to appeal to the Supreme Court, where conservatives hold a majority. If the court supports him, his tariff policy could continue. If not, it could mean the end of one of his most powerful economic tools.

For now, the tariffs remain in place, but the future is uncertain. Businesses, trade partners, and American consumers will be watching closely.

This case is not only about tariffs—it is about how much power a US president should have. Trump’s use of emergency laws to shape global trade is unusual and has divided both Democrats and Republicans. Some see it as bold leadership; others view it as a dangerous misuse of power.

The coming Supreme Court battle will decide not just the future of tariffs, but also the balance between Congress and the presidency in making economic policy. The stakes are high, both for the US economy and its standing in the world.

Aug. 30, 2025 11:33 a.m. 156

US Court ruling, Trump tariffs, Trump global tariffs, illegal tariffs, Trump trade policies

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