A US appeals court has struck down Donald Trump’s global tariffs, setting the stage for a likely Supreme Court battle.
Washington
A major setback for former US President Donald Trump came this week as a federal appeals court ruled that his sweeping global tariffs were unlawful. The Court of Appeals for the Federal Circuit, in a 7–4 decision, held that Trump’s imposition of “reciprocal” tariffs on dozens of nations, along with additional levies on China, Mexico, and Canada, exceeded presidential authority and violated the Constitution.
The ruling, set to take effect on October 14 unless overturned, said the International Emergency Economic Powers Act (IEEPA) of 1977—cited by Trump to justify his measures—does not give presidents the right to impose tariffs, a power vested exclusively in Congress. Judges stressed that Congress never intended to delegate such open-ended authority when passing the law.
The case arose from lawsuits filed by US states and small businesses, which argued that Trump’s 10% baseline tariff and subsequent duties hurt the economy. While many of the tariffs were struck down, measures on steel and aluminium remain intact as they were introduced under a different legal framework.
Trump strongly criticized the decision on Truth Social, claiming that removing the tariffs would “destroy the United States.” His lawyers compared the potential fallout to the Great Depression of 1929, warning of a financial collapse.
Legal experts believe the dispute is now destined for the US Supreme Court, where Trump’s broad interpretation of presidential powers will undergo its toughest test. The outcome could reshape US trade policy and redefine executive authority on economic matters.