A federal appeals court ruled Friday that President Donald Trump had no legal right to impose sweeping tariffs, but kept them in place for now.
According to the resolution,"the law grants the president broad powers to take various actions in response to a declared national emergency, but none of these actions explicitly includes the power to impose tariffs and other taxes."
The U.S. Court of Appeals for the Federal Circuit ruled that Trump was not legally authorized to declare national emergencies and impose taxes on imports in nearly every country in the world, largely upholding a May decision by a specialized federal trade court in New York.
The case concerns global tariffs. The order did not include the 25% tariffs on automobiles, auto parts, steel, or aluminum.
The ruling returned two challenges to the levies to the lower court for a further review of whether it overstepped the mark by blocking the tariffs nationwide.
The decision complicates Trump’s ambitions to completely revolutionize decades of U.S. trade policy on his own. Trump has alternative laws to impose taxes on imports, but they would limit the speed and severity with which he could act. His tariffs—and the erratic way he has implemented them—have roiled global markets, alienated U.S. trading partners and allies, and raised fears of rising prices and slowing economic growth.
"All tariffs remain in effect!"
Via Truth Social, Trump reacted:"ALL TARIFFS ARE STILL IN PLACE! Today a Highly Partisan Appeals Court incorrectly said our tariffs must be removed, but they know the United States will win in the end.
"If these tariffs were removed, it would be a total disaster for the country. It would weaken us financially, and we have to be strong. The United States will no longer tolerate huge trade deficits and unfair tariffs and non-tariff trade barriers imposed by other countries, friend or foe, that undermine our manufacturers, farmers, and everyone else," he said online.
He continued:"If allowed to stand, this decision would literally destroy America. As we begin this Labor Day weekend, we must all remember that tariffs are the best tool to help our workers and support the companies that produce great MADE IN AMERICA products. For too many years, tariffs were allowed to be used against us by our uncaring and reckless politicians. Now, with the help of the U.S. Supreme Court, we will use them to benefit our Nation, and Make America Rich, Strong, and Powerful Again! Thank you for your attention to this matter."