MercoPress. South Atlantic News Agency

Trump's tariffs illegal, court rules

Trump's tariffs will remain in place, pending a Supreme Court ruling

A US federal appeals court has ruled by 7 votes to 4 that most of President Donald Trump's global tariffs are illegal because the International Emergency Economic Powers Act (IEEPA) invoked by the Republican leader does not grant him the authority to do so. The court affirmed that the power to levy tariffs rests exclusively with Congress.

The ruling affects tariffs imposed on China, Mexico, Canada, and many other countries. The decision is set to take effect on October 14, giving the government time to appeal to the Supreme Court.

Trump criticized the decision on his social media platform, calling it a “total disaster” and stating that his administration will appeal. “Today, a highly partisan appeals court incorrectly said that our tariffs should be removed, but they know that the United States of America will win in the end,” Trump claimed. “If these tariffs were to disappear, it would be a total disaster for the country. It would weaken us financially, and we have to be strong,” he further noted.

In the meantime, “the president's tariffs remain in place, and we expect a definitive victory on this issue,” White House Spokesman Kush Desai told reporters.

The Court of Appeals for the Federal Circuit rejected Trump's rationale and ruled his reciprocal tariffs void. “The fundamental power of Congress to impose taxes, such as tariffs, is conferred exclusively on the legislative branch by the Constitution,” the court said. “Tariffs are a fundamental power of Congress,” it added. However, the dissenting judges found that the 1977 law allowing for emergency actions “is not an unconstitutional delegation of legislative authority under the Supreme Court’s decisions.”

In detaching the worth of the US dollar to the price of gold, then-President Richard Nixon’s administration invoked the 1917 Trading With The Enemy Act, which would later evolve into IEEPA.