The news broke that a US court has peed all over Donny’s pet policy…..tariffs.
President Trump does not have the authority to impose broad tariffs on imports, a federal court ruled Wednesday, rejecting the argument that the 1977 International Emergency Economic Powers Act gives him that power. The US Court of International Trade had been asked to issue an injunction in the case involving lawsuits trying to block the tariffs. Instead, the three-judge panel skipped directly to issuing a judgment, Axios reports. The emergency legislation, the judges ruled, does not authorize any of the “Worldwide, Retaliatory or Trafficking” orders, adding, “the challenged Tariff Orders will be vacated and their operation permanently enjoined.”
The unanimous decision applies to the 10% “Liberation Day” tariffs Trump slapped on all foreign products on April 2, as well as the higher levies on goods coming from several dozen nations. Ruling on two cases at once, the court ordered that the tariffs already collected also be vacated, per Politico. At least seven lawsuits challenging the tariffs have been filed. White House aides had said before the ruling that the decision would be appealed if it went against the administration, per the Washington Post. The case could well go to the Supreme Court, per the New York Times, but if the ruling stands, it could be the end of Trump’s trade war.
Tariffs usually need congressional approval, but Trump maintains he has the authority now because the US trade deficits are so high they constitute a national emergency, per the AP. The law does not say the president can use tariffs to protect the nation from economic threats, per the Times, but Trump invoked it anyway. One of the panel’s judges was appointed by Ronald Reagan, one by Barack Obama, and one by Trump.
But how will this ruling effect things?
- Ruling: The Court of International Trade—a federal body made up of Reagan, Obama, and Trump appointees—decreed that Trump doesn’t have the legal authority to impose most of the sweeping tariffs he has enacted. Trump did so under his interpretation of the International Emergency Economic Powers Act of 1977, notes the Wall Street Journal, but the court found that he overreached and invalidated them.
- Affected: This means most of the tariffs Trump imposed, or imposed and then lifted pending negotiations, are gone, though Axios notes some exceptions: those on autos, steel, and aluminum were not enacted under the 1970s law and stand.
- Fallout: The ruling “blows a hole in global trade talks, already under way with more than a dozen nations,” per the Journal, and it “throws into question recent agreements with the UK and China.” The New York Times finds that the court essentially wiped out Trump’s leverage with US trading partners.
- What now: The court gave the Trump administration 10 days to formally unwind the tariffs, but the White House plans to appeal. “The judicial coup is out of control,” tweeted Trump adviser Stephen Miller.
- Markets: Dow futures were up 300 points Thursday morning, reports CNBC, and world stocks also rallied.
Good to see that there are still some judges that Donald the Orange does not own….and there is still a small amount of commonsense.
But like in the past he will probably disregard and judgments against him as he has done so many times in the past.
Is it possible that Congress will now jump to Donny’s aid on this issue?
Will the bully now go after this court in revenge?
Any thoughts?
I Read, I Write, You Know
“lego ergo scribo”