US Appeals Court Declares Many Trump-era Tariffs Unlawful

Sun Sep 14 2025 01:15:39 GMT+0300 (Eastern European Summer Time)

A significant ruling from a US appeals court has declared most tariffs imposed by President Trump illegal, marking a crucial moment in trade policy and constitutional powers.

In a landmark decision, the US Court of Appeals ruled that the majority of tariffs enforced during Trump's presidency violate legislative authority, potentially curtailing the administration's trade measures and challenging the scope of presidential power under the International Emergency Economic Powers Act. The ruling may pave the way for further judicial review in the Supreme Court, as the administration considers its next steps.

A US appeals court has ruled that most tariffs issued by US President Donald Trump are illegal, potentially removing a foreign policy tool that Trump has extensively used during his second term in office.

The ruling affects Trump's reciprocal tariffs imposed on almost every country worldwide, in addition to those directed at China, Mexico, and Canada.

In a 7-4 decision, the US Court of Appeals for the Federal Circuit rejected Trump’s argument that the tariffs were permissible under the emergency economic powers act, declaring them invalid as contrary to law.

The ruling is set to take effect on October 14, allowing the administration time to request the Supreme Court to intervene.

Trump had justified these tariffs under the International Emergency Economic Powers Act (IEEPA), which grants the president power to address unusual and extraordinary threats. He claimed a national emergency on trade, saying that trade deficits endangered US national security. However, the court clarified that such tariff imposition exceeds presidential power, maintaining that it falls within Congress's jurisdiction.

The court's extensive 127-page ruling emphasized that the IEEPA lacks explicit mention of tariffs and does not provide clear safeguards limiting the president’s ability to impose them. The judgment underscores that tariff powers reside firmly within Congressional authority.

The legal decisions leading to this ruling originated from lawsuits initiated by small businesses and a group of states opposing the tariffs Trump enacted after his executive orders in May, which imposed a blanket 10% tariff on every country.

Beyond the impacted tariffs, many aimed at Canada, Mexico, and China—justified by Trump as necessary to curb illegal drug imports and migration—were also annulled. However, the court confirmed that tariffs on steel and aluminum, imposed under different presidential directives, remain unaffected.

This latest ruling follows a similar verdict in May from the New York Court of International Trade, which deemed the tariffs unlawful, a judgment also contested by the White House.