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No surprise: Trump couldn't legally levy tariffs
No surprise: Trump couldn't legally levy tariffs

Winnipeg Free Press

time3 days ago

  • Business
  • Winnipeg Free Press

No surprise: Trump couldn't legally levy tariffs

Opinion It's a big win, but in the end, do wins even matter? A decision by the U.S. Court of International Trade confirmed Wednesday what everybody already knew: that U.S. President Donald Trump can't use trumped-up emergency powers to address magically created emergencies and then implement trade tariffs at his whim. The panel of three judges unanimously ruled that Trump does not have the authority to impose a wide range of global tariffs using the International Economic Emergency Powers Act of 1977. manuel balce ceneta / The Associated Press files U.S. President Donald Trump The act is usually referred to by the acronym IEEPA. It's a law that lets the U.S. president step in and control economic transactions to address a national emergency. That move overrides the U.S. Congress, which has the exclusive power to 'lay and collect taxes, duties, imposts and excises' and to 'regulate commerce with foreign nations' under the U.S. constitution. The judges were scathing in their decision, writing that, 'any interpretation of IEEPA that delegates unlimited tariff authority is unconstitutional.' 'The president's assertion of tariff-making authority in the instant case, unbounded as it is by any limitation in duration or scope, exceeds any tariff authority delegated to the president under IEEPA. The worldwide and retaliatory tariffs are thus ultra vires and contrary to law,' the decision said. It continued, 'the challenged tariff orders will be vacated and their operation permanently enjoined,' halting the imposition of the duties countrywide, and ordering both 'Liberation Day' global tariffs and the fentanyl-related duties against Canada and Mexico must be removed within 10 days. Some other tariffs, such as steel and aluminum tariffs levied against Canada and others, remain in place because they weren't put in place using IEEPA. The Trump administration immediately appealed the court's decision, and the court hearing the appeal has temporarily halted the removal of the tariffs. The case will probably eventually reach the U.S. Supreme Court, where the judges will have a distinct problem: Republican-appointed Supreme Court judges have long maintained that a literal interpretation of the U.S. constitution is the proper way to address constitutional questions, and that is exactly what the Court of International Trade panel of judges has delivered. Will the judges on the Supreme Court follow the principles they claim are paramount, or will they put principles on the shelf to pander to politics? Time will tell. As soon as the decision came down, you could imagine administration spokespeople such as Trump deputy chief of staff Stephen Miller announcing that the decision was made by a Marxist, power-seeking, appointed judiciary — because that's been the pat response to a steady march of court decisions striking down arbitrary actions by the White House. Weekday Evenings Today's must-read stories and a roundup of the day's headlines, delivered every evening. In the hours afterwards, White House spokesman Kush Desai said 'it is not for unelected judges to decide how to properly address a national emergency … President Trump pledged to put America First, and the administration is committed to using every lever of executive power to address this crisis and restore American greatness.' (Miller did not disappoint, either, shortly afterwards announcing on social media that, 'The judicial coup is out of control.') The problem is there is no emergency and there never was. There was only ever an excuse. What remains to be seen is whether Trump and his crew of magical thinkers will even listen to the law — or just continue to claim that Trump has absolute powers that override even the constitution of the United States. Time will tell: if, in 10 days, the tariffs remain in place, it will be absolutely clear that Trump's administration believes itself to be above the law. And that would be one more step down the road to U.S. autocracy.

Canada 'not out of the woods' yet after court rules against some of Trump's tariffs
Canada 'not out of the woods' yet after court rules against some of Trump's tariffs

Toronto Sun

time3 days ago

  • Business
  • Toronto Sun

Canada 'not out of the woods' yet after court rules against some of Trump's tariffs

Published May 29, 2025 • 1 minute read President Donald Trump acknowledges reporters as he disembarks Marine One upon arrival on the South Lawn of the White House in Washington, Sunday, May 25, 2025. Photo by Rod Lamkey / AP While Ottawa is welcoming a U.S. federal court decision that would block President Donald Trump's fentanyl-related tariffs against Canada, experts say local businesses are 'not out of the woods' yet. This advertisement has not loaded yet, but your article continues below. THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLY Subscribe now to read the latest news in your city and across Canada. Unlimited online access to articles from across Canada with one account. Get exclusive access to the Toronto Sun ePaper, an electronic replica of the print edition that you can share, download and comment on. Enjoy insights and behind-the-scenes analysis from our award-winning journalists. Support local journalists and the next generation of journalists. Daily puzzles including the New York Times Crossword. SUBSCRIBE TO UNLOCK MORE ARTICLES Subscribe now to read the latest news in your city and across Canada. Unlimited online access to articles from across Canada with one account. Get exclusive access to the Toronto Sun ePaper, an electronic replica of the print edition that you can share, download and comment on. Enjoy insights and behind-the-scenes analysis from our award-winning journalists. Support local journalists and the next generation of journalists. Daily puzzles including the New York Times Crossword. REGISTER / SIGN IN TO UNLOCK MORE ARTICLES Create an account or sign in to continue with your reading experience. Access articles from across Canada with one account. Share your thoughts and join the conversation in the comments. Enjoy additional articles per month. Get email updates from your favourite authors. THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK. Create an account or sign in to continue with your reading experience. Access articles from across Canada with one account Share your thoughts and join the conversation in the comments Enjoy additional articles per month Get email updates from your favourite authors Don't have an account? Create Account On Wednesday, a decision by the U.S. Court of International Trade said Trump does not have the authority to wield tariffs on nearly every country through the use of the International Economic Emergency Powers Act of 1977 — a national security statute that gives the president authority to control economic transactions after declaring an emergency. The Trump administration filed a notice of appeal soon after the ruling came down from a three-judge panel. Toronto lawyer Sean Stephenson of Dentons, whose practice focuses on international trade and sanctions, cautions that 'nothing changes overnight' with this ruling, especially given the appeal process that awaits. Even if the ruling is eventually upheld, he says Trump could potentially try to use a number of alternative levers at his disposal to reimpose tariffs against Canada and other countries that were ruled unconstitutional under the emergency justification. Business groups in Canada also say they don't feel the ruling brings any new certainty in the immediate term, with the Canadian Chamber of Commerce adding that 'ultimately, the end of this trade war with the U.S. will not come through the courts' but rather through a new negotiated agreement. Toronto & GTA Ontario Canada Sunshine Girls Celebrity

Canada 'not out of the woods' yet after court rules against some of Trump's tariffs
Canada 'not out of the woods' yet after court rules against some of Trump's tariffs

Yahoo

time3 days ago

  • Business
  • Yahoo

Canada 'not out of the woods' yet after court rules against some of Trump's tariffs

While Ottawa is welcoming a U.S. federal court decision that would block President Donald Trump's fentanyl-related tariffs against Canada, experts say local businesses are "not out of the woods" yet. On Wednesday, a decision by the U.S. Court of International Trade said Trump does not have the authority to wield tariffs on nearly every country through the use of the International Economic Emergency Powers Act of 1977 — a national security statute that gives the president authority to control economic transactions after declaring an emergency. The Trump administration filed a notice of appeal soon after the ruling came down from a three-judge panel. Toronto lawyer Sean Stephenson of Dentons, whose practice focuses on international trade and sanctions, cautions that "nothing changes overnight" with this ruling, especially given the appeal process that awaits. Even if the ruling is eventually upheld, he says Trump could potentially try to use a number of alternative levers at his disposal to reimpose tariffs against Canada and other countries that were ruled unconstitutional under the emergency justification. Business groups in Canada also say they don't feel the ruling brings any new certainty in the immediate term, with the Canadian Chamber of Commerce adding that "ultimately, the end of this trade war with the U.S. will not come through the courts" but rather through a new negotiated agreement. This report by The Canadian Press was first published May 29, 2025. Sammy Hudes, The Canadian Press Sign in to access your portfolio

Canada ‘not out of the woods' yet after court rules against some of Trump's tariffs
Canada ‘not out of the woods' yet after court rules against some of Trump's tariffs

Winnipeg Free Press

time3 days ago

  • Business
  • Winnipeg Free Press

Canada ‘not out of the woods' yet after court rules against some of Trump's tariffs

While Ottawa is welcoming a U.S. federal court decision that would block President Donald Trump's fentanyl-related tariffs against Canada, experts say local businesses are 'not out of the woods' yet. On Wednesday, a decision by the U.S. Court of International Trade said Trump does not have the authority to wield tariffs on nearly every country through the use of the International Economic Emergency Powers Act of 1977 — a national security statute that gives the president authority to control economic transactions after declaring an emergency. The Trump administration filed a notice of appeal soon after the ruling came down from a three-judge panel. Toronto lawyer Sean Stephenson of Dentons, whose practice focuses on international trade and sanctions, cautions that 'nothing changes overnight' with this ruling, especially given the appeal process that awaits. Even if the ruling is eventually upheld, he says Trump could potentially try to use a number of alternative levers at his disposal to reimpose tariffs against Canada and other countries that were ruled unconstitutional under the emergency justification. Monday Mornings The latest local business news and a lookahead to the coming week. Business groups in Canada also say they don't feel the ruling brings any new certainty in the immediate term, with the Canadian Chamber of Commerce adding that 'ultimately, the end of this trade war with the U.S. will not come through the courts' but rather through a new negotiated agreement. This report by The Canadian Press was first published May 29, 2025.

US federal court blocks Trump's fentanyl and 'Liberation Day' tariffs
US federal court blocks Trump's fentanyl and 'Liberation Day' tariffs

National Observer

time3 days ago

  • Business
  • National Observer

US federal court blocks Trump's fentanyl and 'Liberation Day' tariffs

United States President Donald Trump hit a major legal barrier for his plan to realign global trade after a federal court on Wednesday blocked both the sweeping "Liberation Day" tariffs and the fentanyl-related duties against Canada and Mexico. The US Court of International Trade decision said Trump does not have the authority to wield tariffs on nearly every country through the use of the International Economic Emergency Powers Act of 1977. The act, usually referred to by the acronym IEEPA, is a national security statute that gives the US president authority to control economic transactions after declaring an emergency. The ruling from the three-judge panel at the New York-based federal court said "any interpretation of IEEPA that delegates unlimited tariff authority is unconstitutional." It said "the challenged tariff orders will be vacated," representing a nationwide injunction against any further imposition of the duties. It's expected the Trump administration will appeal. White House spokesman Kush Desai said "it is not for unelected judges to decide how to properly address a national emergency." "President Trump pledged to put America First, and the Administration is committed to using every lever of executive power to address this crisis and restore American Greatness," Desai said in an emailed statement. Global stock markets have been in turmoil and supply chains have been upended as Trump used unprecedented presidential power to enact his tariffs. Up until Trump's return to the White House, IEEPA had never been used by a president to impose tariffs. Wednesday's decision sowed doubt into how Trump will continue to implement his signature economic tariff policy. Trump hit Canada with economywide duties in March after he declared an emergency at the northern border related to the flow of fentanyl. He partially paused levies a few days later for imports that comply with the Canada-US-Mexico Agreement on trade. US government data shows a minuscule volume of fentanyl is seized at the northern border. Trump took his trade war to the world in April with duties on nearly every country saying America's trade deficits amounted to a national emergency. The president walked back the most devastating duties a few hours later but left a 10 per cent universal tariff in place for most countries. Trump said the 90-day pause would give countries time to negotiate a deal. The president said if countries didn't comply he would simply set tariff rates himself. The White House on Wednesday maintained that "historic and persistent" trade deficits were an emergency. Desai said deficits "decimated American communities, left our workers behind, and weakened our defense industrial base – facts that the court did not dispute." Wednesday's ruling combined two different cases that were pushing against Trump's tariffs. One included five American small businesses specifically pushing against Trump's worldwide tariffs, and the other stemmed from 12 states arguing against both the "Liberation Day" duties and the fentanyl-related tariffs. At least seven lawsuits are challenging the tariffs. "This is a giant power grab by the president and the court was very clear that he cannot claim this kind of unlimited tariff authority," said George Mason University law professor Ilya Somin. Somin, along with the Liberty Justice Center, represents the small businesses. They argued IEEPA does not mention tariffs, nor is there even a synonym, such as duties. The US Constitution gives power over taxes and tariffs to Congress and Somin said Trump is misusing the statute. In the separate case, lawyers for Arizona, Colorado, Connecticut, Delaware, Illinois, Maine, Minnesota, Nevada, New Mexico, New York, Oregon and Vermont argued that tariffs make US trade policy dependent on Trump's whims. The court found Trump's unlimited use of tariffs to hit every country with duties is not in line with IEEPA and is unconstitutional. The decision separately blocked the fentanyl tariffs because it said "they do not deal with the threats" Trump used to justify the duties in his executive order. Somin said it "is a big victory for us and for opponents of these illegal, harmful and abusive tariffs." It is also a big victory for Canada, he added. Somin said the White House is likely to ask an appellate court to lift the injunction halting the tariffs and said an amicus brief — a legal submission from a group that's not party to the action — from Canada would be welcomed. Canada is still being hit with tariffs on steel, aluminum and automobiles. Trump used different powers under the Trade Expansion Act of 1962 to enact those duties.

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