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Most of Trump's global tariffs illegal, rules US appeals court

01 Sep '25
2 min read
Most of Trump's global tariffs illegal, rules US appeals court
Pic: Shutterstock

Insights

  • Most of President Donald Trump's global tariffs are illegal, a US federal appeals court has ruled, saying Trump exceeded his authority in using emergency powers.
  • However, the judges allowed the tariffs to stay in place as the case continues to be adjudicated in a lower court.
  • Trump responded, saying his administration will use tariffs to benefit the nation with the help of the Supreme Court.
Most of President Donald Trump's global tariffs are illegal, a US federal appeals court ruled last week, saying the President exceeded his authority in using emergency powers to impose them.

However, the judges allowed the tariffs to stay in place as the case continues to be adjudicated in a lower court.

The ruling reaffirms an earlier ruling by the Court of International Trade.

"ALL TARIFFS ARE STILL IN EFFECT!," Trump responded to the decision on Truth Social. He also called the court ‘Highly Partisan’, adding , "with the help of the United States Supreme Court, we will use [tariffs] to benefit our nation."

“The retail industry is at the mercy of a tug-of-war between the courts, the administration and the congress when trying to plan and implement business operations and supply chain continuity. Tariffs have created significant disruption to the retail supply chain resulting in increased costs for retailers large and small,” National Retail Federation (NRF) vice president of supply chain and customs policy Jonathan Gold said in a statement.

“The ongoing instability threatens economic growth and will ultimately, and most certainly, result in higher prices for goods and services to be paid by American consumers. Retailers need certainty, and we look forward to the case being settled by the Supreme Court,” he added.

Meanwhile, due to reported US pressure on Mexico, the latter is set to raise duties on Chinese goods under its 2026 budget plan. The proposal, due next month, targets cars, textiles and plastics. Trump had earlier claimed that cheap Chinese goods slip into Mexico before heading north.

ALCHEMPro News Desk (DS)

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