by Worthy News Washington D.C. Bureau Staff
(Worthy News) – In a major blow to former President Donald Trump’s trade agenda, the U.S. Court of International Trade ruled Wednesday that Trump exceeded his constitutional authority when he imposed sweeping tariffs on imports from China, Mexico, Canada, and dozens of other nations under what he dubbed “Liberation Day” tariffs.
A unanimous three-judge panel ruled that the tariffs–invoked under the 1977 International Emergency Economic Powers Act (IEEPA)–violate both the Constitution’s separation of powers and statutory limits placed by Congress on presidential authority.
“The Worldwide and Retaliatory Tariff Orders exceed any authority granted to the President by IEEPA,” the court wrote. “Any interpretation of IEEPA that delegates unlimited tariff authority is unconstitutional.”
The ruling, which consolidates two challenges–V.O.S. Selections, Inc. v. Trump and State of Oregon v. U.S. Department of Homeland Security–permanently blocks the tariffs and vacates their legal standing.
Court Rejects Broad Use of Emergency Powers
Trump had argued that the tariffs were justified under emergency powers due to nonreciprocal trade practices and concerns about drug trafficking. However, the judges — Gary Katzmann (an Obama appointee), Timothy Reif (a Trump appointee), and Jane A. Restani (a Reagan appointee) — found that the rationale failed to meet the statutory standards and lacked a sufficient nexus to the described threats.
Citing both the nondelegation and central questions doctrines, the court concluded that such sweeping tariff authority must remain with Congress.
“This ruling reaffirms that the President must act within the bounds of the law,” said Jeffrey Schwab of the Liberty Justice Center, which filed one of the suits. “It protects American businesses and consumers from the destabilizing effects of volatile, unilaterally imposed tariffs.”
Tariff Policy in Turmoil
Trump’s use of tariffs was a signature part of his “America First” economic strategy. Rates on Chinese goods were briefly raised as high as 125% before being scaled back to 10%. Meanwhile, “trafficking tariffs” on Mexican and Canadian imports remained at 25% and 20%, respectively.
Despite the ruling, many of these tariffs technically remain in effect pending appeal. The Justice Department filed a notice of appeal immediately after the decision was handed down.
A White House spokesman defended the tariffs as a necessary response to decades of “nonreciprocal treatment” and persistent trade deficits. “These deficits have created a national emergency that has decimated American communities,” said spokesman Kush Desai. “It is not for unelected judges to decide how to properly address a national emergency.”
States and Businesses Applaud Decision
Democratic-led states, including Arizona, joined in the legal challenge. Arizona Attorney General Kris Mayes praised the decision as a victory for constitutional governance. “The president does not have the authority to implement tariffs unilaterally,” she said.
Economists and business leaders have long warned that sudden, across-the-board tariffs could disrupt supply chains and raise prices on consumer goods.
The court’s ruling underscores the ongoing tension between executive authority and congressional power, particularly when national emergencies are cited as a legal foundation for sweeping economic policy.
Whether the ruling will ultimately hold on appeal may shape the next administration’s trade and foreign policy for years to come.
Copyright 1999-2025 Worthy News. This article was originally published on Worthy News and was reproduced with permission.
More Worthy News
The Federal Reserve on Wednesday lowered interest rates for the first time in nine months, citing signs of a cooling labor market and persistent uncertainty in the U.S. economy.
Several nations have threatened to boycott the world’s largest televised song competition if Israel participates.
Suspected Islamist gunmen on motorbikes have killed at least 22 people in Niger, including about 15 at a baptism ceremony and seven more nearby, officials and witnesses said. In neighboring Nigeria, a Christian farmer in the Abuja area separately told Worthy News he miraculously escaped armed men raiding his land.
At least nine people have died in Pakistan’s Punjab province when a rescue boat capsized during flood relief efforts, authorities confirmed over the weekend amid massive death and destruction that also impacted the Islamic nation’s tiny Christian minority.
The U.S. Department of State on Wednesday announced the designation of four Iran-backed militias as Foreign Terrorist Organizations (FTOs), escalating pressure on Tehran and its network of proxies across the Middle East.
Israel on Wednesday announced that its long-awaited laser air defense system, known as the “Iron Beam,” is now fully operational following a series of advanced tests. The Defense Ministry and developer Rafael Advanced Defense Systems said the first batteries will be delivered to the Israel Defense Forces (IDF) by the end of the year, marking a historic first for military technology worldwide.
Iran erupted in protests overnight as thousands took to the streets to mark the third anniversary of Mahsa Amini’s death, the young Kurdish woman killed in custody by the regime’s morality police after refusing to wear a hijab.