Court Overturns Majority of Trump's Tariffs, But Appeals Court Stays Decision | Carscoops

      The ruling eliminates some tariffs while maintaining others.

       7 hours ago

      

      

      

      

      

      

      

      

      

      

      

       by Michael Gauthier

      

      

      

      

      

      

      

      The United States Court of International Trade has ruled against the majority of Trump’s tariffs.

      The court concluded that the IEEPA does not grant the president “unlimited authority.”

      A 25% tariff on cars and automotive parts is still in effect because it was justified under a different statute.

      

      Update: As we await the Supreme Court’s decision, a federal appeals court has opted to pause the lower court’s ruling that invalidated most of President Trump’s tariffs. According to CNBC, this temporary hold allows the administration time to challenge the ruling. The court has also allowed the US a week to respond, with the government expected to reply by June 9, 2025.

      

      

      Typically, the United States Court of International Trade operates quietly, but it gained attention yesterday by ruling that President Trump overstepped his authority by imposing extensive tariffs globally – even on uninhabited territories.

      The court's findings indicate that “The Constitution grants Congress the sole powers to 'lay and collect Taxes, Duties, Imposts and Excises,’ and to ‘regulate Commerce with foreign Nations.’”

      They also determined that Trump’s invocation of the International Emergency Economic Powers Act of 1977 (IEEPA) does not provide “unbounded authority” to “impose unlimited tariffs on goods from almost every nation worldwide.” Thus, it is not surprising that the tariffs contested in the lawsuit were ordered to be set aside.

      

      

      

      

      More: Trump Enforces Broad 25% Tariff On Non-US Manufactured Cars And Parts

      That summarizes the key points of the 50-page ruling, but the court elaborated, stating “The Worldwide and Retaliatory Tariff Orders exceed any authority granted to the President by IEEPA to regulate importation through tariffs.” This is due to the fact that they “do not address the threats outlined in those orders.”

      

      

      

      

      

      

      

      

      

      White House

      This sets the stage for another confrontation since the Trump administration has reportedly filed an appeal. The Associated Press notes that the “Supreme Court will likely be asked to provide a definitive ruling,” which implies that the issue of tariffs could be resolved by a court with a conservative majority.

      Although the ruling overturned several tariffs, it did not eliminate all of those imposed by President Trump. Importantly, the 25% tariff on imported cars and parts remains in place as the administration referenced the Trade Expansion Act of 1962. The AP indicates that a similar situation applies to the tariffs on steel and aluminum, meaning automakers continue to face challenges.

      

      

      

      

      

      

      

      

      

      

      

      White House