On Friday, the US Court of Appeals upheld a prior decision by the Court of International Trade finding that President Trump acted unlawfully when he used emergency powers to impose blanket levies on imported goods without congressional consent.
The appeals court voted 7â4 to uphold the initial judgment, but left the tariffs in place while the Trump administration pursues an appeal to the Supreme Court. Trump appointed three of the nine Supreme Court justices.
Since tariffs were introduced in Februaryâmainly targeting Canada, Mexico, and Chinaâthe US government has collected about $100 billion in additional customs duties. Capital Economics said that if the Supreme Court agrees Trump abused presidential powers, the Treasury would still need to return most of the close to $100 billion collected, and that trading partners including Britain and the European Union could backtrack on preliminary trade agreements.
The White House had cited fentanyl as the basis for the tariffs; the appeals court said there was no clear congressional authorisation to use fentanyl transport as justification for blanket import levies imposed by executive orders.