Court Strikes Down Trump Tariffs

The New York based Court of International Trade has ruled that the 10 percent additional tariffs imposed by former US President Donald Trump on goods and services imported from various countries are illegal. A three judge bench delivered the verdict by a 2-1 majority while hearing petitions filed by several small business groups. The court stated that a president cannot impose additional tariffs without approval from Congress.

The judges clarified that under Section 122 of the Trade Act of 1974, a president can impose temporary tariffs only during extraordinary financial emergencies. The court also directed the government to refund the tariff collections to affected businesses within five days. Reports suggest that the Trump administration is planning to challenge the verdict in a higher court. The US Customs and Border Protection department has identified nearly 3,30,000 importers eligible for tariff refunds.