A federal appeals court delivered a major blow to President Donald Trump on Friday, ruling that most of his tariffs are illegal.
The U.S. Court of Appeals for the Federal Circuit in Washington, D.C. said Trump overstepped his authority when he imposed key sets of tariffs under the International Emergency Economic Powers Act.
The ruling undermines one of the president’s signature economic policies, but the court allowed the tariffs to stay in place until October 14. That deadline gives the Trump administration time to appeal to the U.S. Supreme Court.
Trump has made tariffs central to his second term. He has used them as leverage to renegotiate trade deals and pressure foreign governments.
The court said the law Trump relied on does not grant him power to impose tariffs, Reuters reported.
“The statute bestows significant authority on the President to undertake a number of actions in response to a declared national emergency, but none of these actions explicitly include the power to impose tariffs, duties, or the like, or the power to tax,” the ruling stated.
The decision does not affect all tariffs. It leaves untouched other measures issued under separate authority, such as Trump’s steel and aluminum tariffs.
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