World

Big setback for Trump, US court strikes down President's 10% global tariffs

The US trade court on Thursday ruled against President Donald Trump’s latest 10% global tariffs, saying the broad tariffs were not justified under a trade law from the 1970s.

US President Donald Trump holds a chart as he delivers remarks on reciprocal tariffs during an event in the Rose Garden entitled “Make America Wealthy Again” at the White House in Washington, DC, on April 2, 2025. (AFP)

In a divided ruling, the court of international trade said Trump had incorrectly used a decades-old trade law to impose the duties in February, shortly after the US Supreme Court struck down his previous set of steep tariffs.

Last month, the court arguments in lawsuits filed by 24 states, most of them led by Democrats, along with small businesses challenging the tariffs that came into effect on February 24.

The states argued that the move was an attempt to sidestep a major US Supreme Court ruling, which struck down the Republican president’s 2025 tariffs imposed under the International Emergency Economic Powers Act (IEEPA).

Notably, in the February order, Trump invoked Section 122 of the Trade Act of 1974, which allows duties for up to 150 days to address serious “balance of payments deficits” or to prevent a sharp fall in the value of the dollar.

(This is a developing story…)