Tuesday, 02 January 2024 12:17 GMT

US Court Blocks Trump’s 10 Percent Global Tariff


(MENAFN) A federal judiciary ruled on Thursday that US President Donald Trump’s effort to levy a 10% worldwide tariff is unlawful, marking another significant setback for his broader import duty strategy. The decision adds to a growing series of legal obstacles facing his tariff agenda.

Trump had tried to introduce the 10% global tariffs following an earlier ruling by the Supreme Court, which had already invalidated his initial tariff attempt. That earlier loss was considered an uncommon legal defeat for the typically conservative-leaning bench earlier in the year, forcing the administration to pursue alternative legal mechanisms.

In this latest case, a three-judge panel at the US Court of International Trade ruled in favor of a coalition of small enterprises. By a 2-1 vote, the judges determined that the presidential proclamation used to authorize the revised duties was improper, stating that it is "invalid, and the tariffs imposed on plaintiffs are unauthorized by law."

The Trump administration is widely expected to challenge the ruling through an appeal process. Meanwhile, the White House has not yet issued an immediate response to requests for comment regarding the decision.

The court also issued an injunction protecting the state of Washington alongside the group of small businesses that initiated the lawsuit. The majority opinion emphasized the broader implications of the ruling, noting that "The public interest would be served by a permanent injunction," the panel majority wrote.

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