Tariffs were canceled in the court ruling

President Donald Trump This week, the aggressive trade program reached a significant conception when the Federal Appeal Court ruled that most of its “mutual tariffs” were illegal.

A US Appeal Court of Federal Scheme posted Friday The fact that Trump exceeded his presidential power when he imposed levies on almost every country in the announcement of the “Liberation Day” on April 2.

Before the actions of Trump’s court, approximately 69% of US goods, According to the Tax Fund. When beaten, duties would affect about 16%.

The ruling introduces a large dose of uncertainty into the central principle of Trump’s economic agenda, which has shocked the world economy since April.

As long as the Appeal Court ruling statements for goods from most countries – up to 50% for several countries – will remain in force while October 14To allow Trump administration to appeal the decision in the US Supreme Court.

Trump brought 1977 International Law on Emergency Economic Powers To justify your wide tariffs. He announced the US Trade deficit With other peoples, the national emergency and turned to IEPA to impose steep levies.

However, the Court of Appeal ruled that IEPA did not give him the powers for the sale of tariffs, saying that the authorities live exclusively with the congress.

“The main authority in Congress impose taxes such as tariffs 7-4 ruling.

The ruling puts Trump’s denudes, which came into force at the beginning of the month after numerous delay, on a shaky ground. Trump imposed tariffs on more than 60 countries, including 50% of the rate in India and Brazil. It also imposed 10% of the basic tariff in most other countries that were not affected by the set mutual tariff rate.

The court also considered Trump tariffs in China, Canada and Mexico – which, according to the administration, were needed because the countries were not enough to stop the alleged Fentonil trade in the US – were illegal.

Trump said he would appeal the ruling to the Supreme Court. “If this allows you to withstand, this decision is literally destroying the United States of America,” he wrote In social media.

If the Supreme Court will eventually determine that the tariffs are illegal, there are other ways of rooting Trump, but the sphere is likely to be much more limited.

For example, Trump could cause 1974. The Law on Trade, But this law changes the tariff by 15% and only within 150 days when Congress does not spread them.

Earlier this month Trump administration expanded 50% steel and aluminum tariffs Enable more than 400 additional products, the Department of Trade reports.

Trump relied on these tariffs, characteristic of the sector, often called tariffs in the 232-for trial.

“Section 232 Tariffs are the main for President Trump’s tariff strategy”, Mike Lowell, a partner of the law firm Reid Smith, Previously told CNBC.

“They are not the goal of waiting for trial, and they are most likely to be experiencing a legal problem and continue the next presidential administration, and this is what we saw with aluminum and steel tariffs initially imposed under the first Trump administration,” Lowell said.

As reported The Wall Street Journal.

Tariffs that Trump imposed on China during his first term, which is the former president Joe Biden The support is also likely to remain in place despite the decision on the appeal.

Finally, the release of “de minimis” was officially eliminated on FridayTherefore, the import, which is estimated at $ 800 and less, is now subject to tariff and duty, another blow to small and medium -sized US business and part of Trump’s trade program, which looks safe from court.