US Courts Block Trump Tariffs Amid Appeals, Legal Battle Escalates
US Courts Block Trump Tariffs Amid Appeals, Legal Battle Escalates

US Courts Block Trump Tariffs Amid Appeals, Legal Battle Escalates

News summary

President Donald Trump's sweeping tariff policy, imposed under the International Emergency Economic Powers Act (IEEPA), faces significant legal challenges after the U.S. Court for International Trade ruled it unconstitutional, blocking tariffs including the "Liberation Day" duties and fentanyl-related tariffs on Canada, Mexico, and China. However, the U.S. Court of Appeals for the Federal Circuit temporarily reinstated the tariffs while considering motions, and the Justice Department is seeking emergency relief from the Supreme Court to prevent what it calls irreparable national security and economic harms. The Trump administration has filed appeals in multiple courts, reflecting the ongoing legal battle over the president's authority to impose tariffs unilaterally, which has never been done before under IEEPA. Despite the setback, trade experts note that Trump could still reimpose tariffs using other legal authorities granted by Congress, such as the Trade Act of 1974, which allows for balance-of-payments tariffs with a 150-day limit, or sectoral duties under section 301 or 232. Trump has defended his tariff approach as negotiation tactics and criticized Wall Street's characterization of his changing tariff rates as "chickening out." Meanwhile, members of his administration have condemned the court rulings, calling them judicial tyranny, while the legal saga appears headed toward a Supreme Court showdown.

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Last Updated
9 days ago
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