A federal court has blocked President Donald Trump’s tariff executive orders, ruling that he exceeded his emergency powers in implementing them.
The United States Court of International Trade issued an injunction on tariffs imposed on Canada, China, and Mexico, as well as a 10% global tariff and additional reciprocal tariffs. The court ordered the government to cease all operations related to these tariff orders and to issue administrative notices regarding the permanent injunction within 10 days.
Which tariffs are affected by the injunction?
The administration has 10 days to clarify which tariffs remain in effect, unless an appeal is filed to pause the court order. The decision provides relief to the food industry, which feared price increases on ingredients like chocolate and coffee.
The injunction stemmed from legal challenges by small businesses and U.S. states, arguing that the tariffs exceeded presidential powers under the International Emergency Economic Powers Act. The Trump administration quickly appealed the decision to the U.S. Court of Appeals in Washington, D.C.
Trump’s interpretation of the emergency trade law was deemed excessive by the court, as it does not authorize unlimited tariffs on goods from various countries. The court’s decision also impacts the elimination of de minimis exemptions for imports from China and Hong Kong.
Notably, tariffs on automobiles, auto parts, steel, and aluminum products are unaffected by the injunction, as they were implemented under different trade authorities. Tariffs under Section 301 will also remain in place.
The U.S. Court of International Trade, with nationwide jurisdiction over customs and trade law disputes, can have its decisions reviewed by a federal appeals court.
Various Trump administration officials have criticized the court’s action to halt tariffs, with White House Deputy Chief of Staff Stephen Miller calling it a “judicial coup.” White House spokesperson Kush Desai argued that unelected judges should not dictate responses to national emergencies.
This article is a collaborative effort by Sarah Zimmerman and Max Garland.