US court rules Trump’s global tariffs illegal in major decision

A United States (U.S.) Court of Appeals for the Federal Circuit has ruled that the tariffs imposed by President were unlawful. The court rejected Donald Trump’s contention that tariffs were lawful under the International Emergency Economic Powers Act (IEEPA).

Judges stated that imposing tariffs is the authority of Congress, not the president.

The ruling covers Donald Trump’s “reciprocal tariffs on dozens of countries,” as well as levies on China, Canada, and Mexico. Tariffs on steel and aluminium, which were imposed under a different authority, remain unaffected.

The decision will not take effect until October 14 to allow the administration time to appeal. The White House is expected to ask the United States (U.S.) Supreme Court to take up the case.

Donald Trump reacted on his Truth Social platform, calling the court “highly partisan” and warning that removing tariffs would destroy the United States of America.”

The case stemmed from lawsuits filed by small US businesses after Trump’s 10 percent baseline tariffs were introduced in 2024. 

Lower courts had previously ruled against the tariffs, but enforcement was paused pending appeal.

Legal experts say the Supreme Court, with its conservative majority, will now likely decide whether Donald Trump’s tariff programme was an overreach of presidential power of supported by existing law.