Admittedly, I have a bias because I hate tariffs and I am not a lawyer, but I think I agree with the court. The Executive Branch does not have the power to arbitrarily impose tariffs in the Constitution and the notion that we have an economic emergency is dubious, at best. I certainly wouldn’t want a Leftist president to declare an economic emergency and make all kinds of sweeping arbitrary decisions and I don’t want Trump doing it either. Yes, this means that Congress needs to get off their asses, but that’s how our government was designed.
A federal court ruled Wednesday that President Donald Trump exceeded his authority with his reciprocal tariffs, dealing a blow to a major tenet of the president’s economic agenda.
A three-judge panel at the Court of International Trade ruled that the International Emergency Economic Powers Act, a 1977 law that Trump invoked to justify the tariffs, does not actually give the president the power to unilaterally implement the sweeping duties.
“The Worldwide and Retaliatory Tariff Orders exceed any authority granted to the President by IEEPA to regulate importation by means of tariffs,” the judges wrote in their ruling.
“The Trafficking Tariffs fail because they do not deal with the threats set forth in those orders,” they continued.
Dow futures jumped 400 points Wednesday on news of the ruling.
Implementing tariffs typically requires congressional approval, but Trump chose to bypass Congress by declaring a national economic emergency, and using the purported emergency as justification for invoking the tariffs on his own.
The Trump administration swiftly appealed the ruling Wednesday.
“Foreign countries’ nonreciprocal treatment of the United States has fueled America’s historic and persistent trade deficits,” White House spokesperson Kush Desai said in a statement after the order.
“These deficits have created a national emergency that has decimated American communities, left our workers behind, and weakened our defense industrial base – facts that the court did not dispute.”