US trade court rules against Trump’s tariffs

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SouthernWorldwide.com – A U.S. trade court has delivered a significant ruling against President Trump’s recently imposed 10% global tariffs, declaring them invalid.

The U.S. Court of International Trade, in a 2-1 decision by a panel of judges, sided with 24 states and a coalition of businesses. These plaintiffs had filed a lawsuit in March to challenge the legality of the tariffs imposed by the Trump administration on most imports.

These latest tariffs were enacted in February, shortly after the Supreme Court invalidated a previous set of broad tariffs. Those earlier tariffs, dubbed “Liberation Day” tariffs, were first introduced in April 2025 under the International Emergency Economic Powers Act (IEEPA).

The Supreme Court’s decision was a 6-3 ruling, which concluded that the IEEPA does not grant the president the authority to impose tariffs.

Following the Supreme Court’s judgment, the White House implemented new tariffs. This was done using Section 122 of the Trade Act of 1974, a legal provision that permits the president to impose tariffs for a period of 150 days.

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In its comprehensive 88-page ruling issued on Thursday, the U.S. Court of International Trade characterized the tariffs as “unlawful.” The court also highlighted the “economic harm” that these tariffs had caused.

The judges explicitly stated in their ruling, “Defendants do not explain why they should be permitted to continue the unlawful collection of Section 122 duties from Importer Plaintiffs for the duration of the imposition of such duties.”

The panel mandated that the Trump administration must adhere to the court’s order within a five-day timeframe. Furthermore, the ruling stipulated that the White House is required to issue refunds, along with interest, for all tariffs that businesses have already paid.

CBS News has contacted the White House to obtain a comment regarding this ruling.

It is also anticipated that the Trump administration will commence issuing refunds this month to businesses that paid duties under the previous IEEPA tariffs.

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