Appeals court rules Trump lacks authority for global tariff program
Judicial check limits presidential trade war powers
A federal appeals court ruled 7-4 that Trump can't impose tariffs on 69% of imports without Congressional approval, calling his emergency powers "unbounded." The court blocked his Liberation Day tariffs and fentanyl duties on China, Mexico, and Canada, though auto and steel tariffs survived under different legal authority. Trump lashed out at the "Highly Partisan" judges and begged the Supreme Court for emergency help, warning America would be "destroyed" without his tariffs.
Why this matters
<ul> <li><strong>⚖️ Federal appeals court challenges presidential emergency trade authority</strong>: The 7-4 Federal Circuit decision directly contests Trump's use of emergency powers for tariffs. This forces the Supreme Court to decide whether presidents can bypass Congress on trade policy through permanent emergency declarations.</li> <li><strong>💰 Import taxes continue despite court ruling finding them illegal</strong>: Appeals court delayed enforcement until October 14, 2025, meaning tariffs on European goods, Chinese products, and other targeted nations remain in effect while affecting consumer prices.</li> <li><strong>🏛️ Congressional trade authority faces constitutional test</strong>: The ruling puts lawmakers in position of defending either presidential overreach or legislative branch constitutional authority over taxation and trade regulation.</li> <li><strong>📊 International trade policy structure depends on Supreme Court decision</strong>: If upheld, the ruling would force presidents to seek Congressional approval for future tariffs. This would fundamentally change how America conducts international commerce and diplomatic negotiations.</li> </ul>
Core Facts
U.S. Court of Appeals for the Federal Circuit ruled 7-4 on August 29, 2025, that Trump exceeded presidential authority under the International Emergency Economic Powers Act (IEEPA) when imposing sweeping global tariffs ranging from 10% baseline to 50% on India
The court found Trump's "reciprocal" and "trafficking" tariffs were "unbounded in scope, amount, and duration," applying to nearly all imports without Congressional approval or time limits
Trump's tariffs generated over $125 billion in revenue since April 2025 but economists estimate they slowed GDP growth and contributed to recent inflation increases
The appeals court delayed enforcement until October 14, 2025, allowing Trump to appeal to the Supreme Court where six conservative justices include three Trump appointees
V.O.S. Selections v. Trump case consolidated lawsuits from 12 Democratic state attorneys general and five small businesses claiming constitutional violations
Congress passed IEEPA in 1977 to limit presidential emergency powers after Nixon's economic controls, but the law never explicitly mentions "tariffs" or "duties"
Similar tariff authority challenges during Trump's first presidency succeeded in blocking expansive trade powers until legal appeals restored limited authority in 2020
Key Actors
Judge Timothy Reif
Trump-nominated Federal Circuit judge
Joined the 7-4 majority striking down tariffs, dealing blow to his appointer's signature economic policy despite conservative credentials
Commerce Secretary Howard Lutnick
Trump's trade policy enforcer
Warned courts that blocking tariffs would cause "massive and irreparable harm" to U.S. foreign policy and national security interests
Nevada Attorney General Aaron Ford
Democratic state coalition leader
Led 12-state legal challenge calling court ruling "a win for the rule of law and for Nevadans' pocketbooks"
Actionable Insights
Call your representative at 202-224-3121 demanding they oppose any Congressional resolution overturning the appeals court decision
Contact Supreme Court Watch at scotusblog.com to track Trump's expected appeal and oral argument scheduling
Support small business trade groups through National Association of Wholesaler-Distributors at naw.org defending constitutional limits on presidential tariff power
Join constitutional law advocacy through Protect Democracy at protectdemocracy.org monitoring separation of powers violations
Stock up on imported goods before potential Supreme Court reversal restores Trump's unlimited tariff authority
Register for congressional district town halls demanding representatives explain their position on presidential vs. legislative trade authority
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