A federal trade court on Wednesday blocked US President Donald Trump from imposing sweeping tariffs on imports under an emergency-powers law.
US President Donald Trump holds a chart next to US Secretary of Commerce Howard Lutnick as Trump delivers remarks on tariffs in the Rose Garden at the White House in Washington on April 2. (REUTERS FILE)
The ruling from a three-judge panel came after several lawsuits argued that Trump exceeded his authority, left US trade policy dependent on his whims and unleashed economic chaos.
At least seven lawsuits are challenging the levies, the centrepiece of Trump's trade policy.
Tariffs must typically be approved by Congress, but Trump said he has the power to act because the country's trade deficits amount to a national emergency.
He imposed tariffs on most countries of the world at one point, sending markets reeling.
The plaintiffs argued that the 1977 International Emergency Economic Powers Act (IEPPA) does not authorise the use of tariffs.
Even if it did, they said, the trade deficit does not meet the law's requirement that an emergency be triggered only by an "unusual and extraordinary threat".
The US has run a trade deficit with the rest of the world for 49 consecutive years.
Stay updated with US News covering politics, crime, weather, local events, and sports highlights. Get the latest on Donald Trump and American politics along with Horoscope 2026.
Home/World News/Us News/US Trade Court Rules Donald Trump Not Authorised To Impose 'Liberation Day' Tariffs