Trump’s ‘Liberation Day’ tariffs halted by U.S. court over constitutional concerns

A federal court in the US has halted President Donald Trump’s extensive tariffs, delivering a significant setback to a crucial aspect of his economic strategy.

The Court of International Trade determined that an emergency law invoked by the White House did not grant the president the unilateral power to impose tariffs on almost all countries.

According to the Manhattan-based court, the US Constitution assigns Congress exclusive authority to regulate trade with foreign nations, a power that is not overridden by the president’s role in protecting the economy.

The Trump administration filed an appeal just minutes after the ruling.

Who initiated the court case?

The ruling stemmed from two distinct cases. The nonpartisan Liberty Justice Center filed a case on behalf of several small businesses that import products from countries affected by the tariffs, while a coalition of US state governments also contested the import taxes.

These two cases represent the first significant legal challenges to Trump’s so-called “Liberation Day” tariffs.

A panel of three judges concluded that the International Emergency Economic Powers Act (IEEPA), a law from 1977 that Trump referenced to justify the tariffs, does not empower him to impose such broad import taxes.

The court also blocked another set of tariffs that the Trump administration had placed on China, Mexico, and Canada, citing the unacceptable influx of drugs and illegal immigrants into the US.

However, the court did not consider tariffs on specific items like cars, steel, and aluminum, which are governed by a different statute.

What has been the response so far?
The White House has criticized the ruling, although Trump has not yet made a direct comment.

“It is not the role of unelected judges to determine how to effectively respond to a national emergency,” stated White House deputy press secretary Kush Desai.

“President Trump has committed to putting America First, and the administration is dedicated to utilizing every aspect of executive power to tackle this crisis and restore American greatness,” he added.