Washington, USA: A federal appeals court ruled that former President Donald Trump exceeded his authority by imposing sweeping tariffs on nearly all US trading partners, including China, Mexico, and Canada. The court allowed the tariffs to remain temporarily while Trump takes the case to the Supreme Court.
The tariffs, introduced in April 2025 under the guise of “reciprocal” measures, were justified by Trump using the 1977 International Emergency Economic Powers Act, claiming US trade deficits as a national emergency. The court rejected this, stating Congress did not grant unlimited presidential authority to impose tariffs.
The ruling could force the US Treasury to refund collected tariffs, which totaled $159 billion by July, and may weaken future US trade negotiations. Trump has vowed to appeal to the Supreme Court and could pursue alternative tariffs under the Trade Act of 1974 or Section 232 of the Trade Expansion Act, though with limits.
