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US Federal Court Nullifies Trump’s Reciprocal Tariffs... White House Vows Immediate Appeal (Comprehensive)

"No Unlimited Authority Granted to the Government"
White House Protests "Out-of-Control Judicial Coup"

A U.S. federal court has ruled that former President Donald Trump's imposition of reciprocal tariffs based on the International Emergency Economic Powers Act (IEEPA) exceeded the authority of the executive branch. In response to this decision, the White House strongly objected, calling it an "out-of-control judicial coup," and announced plans to appeal. As the Trump administration immediately appealed the court's decision to block the reciprocal tariffs, a legal battle between the executive and judicial branches is expected to continue.


US Federal Court Nullifies Trump’s Reciprocal Tariffs... White House Vows Immediate Appeal (Comprehensive)


According to Bloomberg and other sources on May 28 (local time), the U.S. Court of International Trade (CIT) in New York issued a decision last month, on the 2nd, to block the implementation of the reciprocal tariffs that President Trump had announced during the 'Liberation Day' event.


The court stated, "According to the U.S. Constitution, the exclusive authority to regulate trade with other countries belongs to Congress, and the president's emergency powers invoked to protect the U.S. economy do not take precedence over congressional authority." The court further clarified, "The court does not interpret the IEEPA as granting the government unlimited authority." This makes it clear that the Trump administration's unilateral imposition of a 10% tariff on all imports is not legally permissible.


Oregon Attorney General Dan Rayfield commented, "This ruling reaffirms the legal principle that the president should not make arbitrary trade decisions."


The International Emergency Economic Powers Act, enacted in 1977, was introduced to address "unusual and extraordinary threats" related to national security, foreign affairs, or the economy. This provision serves as the basis for presidential actions such as export-import controls and asset freezes, not only during wartime. Previously, President Trump invoked the IEEPA, claiming that the U.S. trade deficit constituted a "national emergency."


The White House immediately announced its intention to appeal. Trump policy advisor Stephen Miller strongly objected, stating, "The judicial coup is out of control." White House spokesperson Kushi Desai said in a statement, "Unfair trade relationships have devastated American communities, neglected workers, and weakened the defense industry," adding, "These are facts that the court did not dispute." He continued, "It is not the role of unelected judges to decide how to respond to a national emergency," and emphasized, "We will use every tool of executive authority to address this crisis."


This case began last month when the Liberty Justice Center, a coalition of five small U.S. businesses, filed a lawsuit against the Trump administration. These companies argued that President Trump unlawfully bypassed the procedures of Congress, which holds the authority to make tariff decisions, and implemented tariff policies illegally. They also claimed that President Trump arbitrarily interpreted the IEEPA and imposed tariffs without proper authority.


Including New York, a total of 12 states filed lawsuits last month in the same court, seeking to halt the Trump administration's tariff policy. Plaintiffs include states such as Nevada and Vermont, where the governors are members of the Republican Party. According to the Associated Press, "at least seven lawsuits have been filed so far regarding the reciprocal tariffs."


As a result of this ruling, ongoing negotiations between the U.S. and countries subject to the reciprocal tariffs have also been disrupted. Previously, Politico reported that if the Court of International Trade ruled the tariffs illegal, all ongoing U.S. trade negotiations would come to a complete halt.


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