Court Blocks Trump Tariffs, Citing Overreach

A U.S. federal court blocked former President Donald Trump’s sweeping 'Liberation Day' tariffs, ruling he overstepped his legal authority by imposing broad import duties without congressional approval. The Court of International Trade determined that the International Emergency Economic Powers Act (IEEPA) does not permit the president to impose tariffs for economic leverage, reserving that authority for Congress. Trump cited national emergencies, including trade deficits and the fentanyl crisis, to justify tariffs targeting countries such as China, Canada, and Mexico, but the court found these issues do not meet IEEPA’s legal standard of an 'unusual and extraordinary threat.' The decision followed lawsuits from small businesses and states, which argued the tariffs were unlawful and economically damaging. The court vacated and permanently enjoined the tariffs, and markets responded positively to the ruling. The Trump administration plans to appeal, highlighting ongoing disputes over presidential and congressional power in U.S. trade policy.