The U.S. Court of Appeals has ruled that President Donald Trump’s expansive tariffs were unconstitutional, citing an overreach of emergency powers. Though this ruling preserves tariffs for now, pending a Supreme Court appeal, it signals troubled times ahead for trade policy and global markets.
Trump’s tariffs targeted imports from numerous countries with steep duties meant to shield American jobs and industries. The court found this action exceeded presidential authority without Congress’s clear consent. Trump called the ruling a “disaster,” emphasizing tariffs as essential for economic strength.
Market reactions have been cautious as the ruling may eventually force the government to refund billions collected in tariffs and unsettle trade relations. Consumers could face higher prices if tariffs remain in place long term. The case’s final resolution remains pending as the Supreme Court prepares to weigh in on a matter that will impact economic policy and the global trading system.
