A U.S. federal appeals court has found that Donald Trump’s global tariff strategy violates federal law, striking down his administration’s use of the International Emergency Economic Powers Act (IEEPA) to justify the levies. The ruling is a direct challenge to the legality of his protectionist agenda.
The court concluded that the former president’s actions were “not authorized” by the statute he invoked. The judges determined that the IEEPA was designed for specific foreign policy emergencies and does not provide the president with broad powers to set tariffs, a function that constitutionally belongs to the legislative branch.
This decision puts numerous international trade pacts in jeopardy. These deals were negotiated as alternatives to the tariffs, but with the tariffs now declared illegal, the underlying incentive for these agreements has been removed. This could lead to a new round of global trade tensions.
The former president has promised to appeal, ensuring the legal uncertainty will continue. The case will force the Supreme Court to make a definitive ruling on the scope of presidential emergency powers, a decision that will have a lasting impact on the balance of power between the White House and Congress.