US Court Rules Trump Exceeded Authority with Global Tariffs
The US Court of International Trade ruled that Donald Trump's global tariffs exceeded his authority, declaring them "contrary to law." The ruling indicates misuse of the International Emergency Economic Powers Act, which does not allow tariffs solely for trade imbalances or wage issues.
- Decision affects Trump's April 2 tariff policy with a 10% baseline duty and reciprocal tariffs targeting various countries.
- Does not impact existing sector-specific tariffs on steel or autos.
- Resulted from lawsuits by small businesses and 12 US states claiming harm to public services and supply chains.
- US stock futures rose 1.5% and Asian markets climbed following the ruling.
- White House plans to appeal the decision amid growing opposition from lawmakers and businesses regarding presidential power in trade.
- Trump's administration has softened some tariffs and is engaging in talks with global trade partners, including a temporary truce with the EU and China.