Federal Appeals Court Deals Blow to Trump’s Tariff Policy

Blue Press Journal – In a significant setback to President Trump’s trade agenda, a federal appeals court rejected his claim that emergency powers justify imposing tariffs on a global scale. On Friday, the U.S. Court of Appeals for the Federal Circuit ruled 7-4 that the President’s tariffs were not authorized by the statute he cited to justify them.

The court’s decision affirms a lower court’s ruling that the International Emergency Economic Powers Act (IEEPA) does not permit the President’s sweeping moves. The IEEPA allows the President to issue certain economic sanctions in response to an “unusual and extraordinary threat” during an emergency. However, the court ruled that this authority does not extend to the imposition of tariffs.

The majority opinion stated, “Because we agree that IEEPA’s grant of presidential authority to ‘regulate’ imports does not authorize the tariffs imposed by the Executive Orders, we affirm.” This decision is a significant blow to the Trump administration’s efforts to refashion global trade through tariffs.

The ruling will not take effect immediately, as the court has withheld the mandate for its decision until October 14. This delay allows the administration to appeal the decision to the Supreme Court. The Trump administration is likely to pursue an appeal, as the tariffs are a key component of the President’s trade policy.

This decision has significant implications for ongoing trade disputes between the United States and other countries. The Trump administration’s tariffs on goods from several nations, including China, Canada, and Mexico, were justified by national security concerns and unfair trade practices. The court’s ruling suggests these tariffs may not be legally justified, potentially leading to a re-evaluation of the administration’s trade policy.