A federal appeals court in Washington, DC, has ruled that the sweeping tariffs imposed by US President Donald Trump under emergency powers are largely unconstitutional, dealing a significant legal blow to his trade policies.
In a 7–4 ruling, the US Court of Appeals for the Federal Circuit said the International Emergency Economic Powers Act (IEEPA), which Trump used to justify the tariffs, does not explicitly grant a president authority to impose tariffs or taxes.
The law was designed to allow a president to act during national emergencies, but judges said it does not extend to unilateral trade duties.
The court stated that while the statute provides the president with broad powers, those powers do not include “tariffs, duties, or the like.”
However, the panel allowed the tariffs to remain in effect until October 14, giving the Biden administration time to file an appeal to the Supreme Court.
President Trump quickly dismissed the ruling, calling it “incorrect” and labeling the court as “highly partisan.” Writing on his Truth Social platform, he insisted that all tariffs remain in place and warned that removing them would “literally destroy the United States of America.”
The tariffs were first introduced after Trump declared that the country’s decades-long trade deficit represented a national emergency.
Using IEEPA, he sought to impose duties on foreign goods, arguing that the US importing more than it exports posed an extraordinary threat.
The court disagreed, writing that Congress likely did not intend to give presidents unlimited tariff powers without clear safeguards.
The ruling does not affect tariffs imposed under separate legal grounds, such as those on steel and aluminum imports.
The case is now expected to head to the Supreme Court, where the future of Trump’s signature trade weapon will be decided.