Tuesday, 02 January 2024 12:17 GMT

US appeals court finds many of Trump’s tariffs are not legal


(MENAFN) A US appeals court has determined that the majority of tariffs introduced by President Donald Trump are illegal, paving the way for a potential legal clash that could challenge his international trade policies.

The decision targets Trump’s so-called "reciprocal" tariffs, which were applied to a broad range of countries, along with additional tariffs on China, Mexico, and Canada. In a 7-4 ruling, the US Court of Appeals for the Federal Circuit dismissed Trump’s claim that the tariffs were authorized under an emergency economic powers law, stating they are "invalid as contrary to law."

The ruling is not scheduled to take effect until October 14, allowing the administration time to appeal to the US Supreme Court.

Trump responded to the court’s decision on Truth Social, stating: "If allowed to stand, this Decision would literally destroy the United States of America." He added: "Today a Highly Partisan Appeals Court incorrectly said that our Tariffs should be removed, but they know the United States of America will win in the end. If these Tariffs ever went away, it would be a total disaster for the Country. It would make us financially weak, and we have to be strong."

Trump had defended the tariffs under the International Emergency Economic Powers Act (IEEPA), which permits the president to act against "unusual and extraordinary" threats. He had declared a trade-related national emergency, arguing that imbalances in trade posed a risk to US national security. However, the court concluded that the president did not have authority to impose tariffs under this law, noting that establishing such levies falls under "a core Congressional power."

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