Posted originally on CTH on May 28, 2025 | Sundance
We all knew the system would strike back. There are trillions at stake.
UPDATES AT BOTTOM: A federal trade court based out of New York has just ruled in a three-judge decision that President Trump does not have the authority within the International Emergency Economic Powers Act (IEEPA) to initiate emergency trade tariffs. [The Ruling is HERE]
WASHINGTON DC – A federal trade court ruled President Trump didn’t have the authority to impose sweeping tariffs on virtually every nation, voiding the levies that have sparked a global trade war and threatened to upend the world economy.
The decision on Wednesday from the Court of International Trade blocked one of the Trump administration’s most audacious assertions of executive power, under the International Emergency Economic Powers Act of 1977, and sets the stage for a possible appeal by the White House.
“The court does not read IEEPA to confer such unbounded authority and sets aside the challenged tariffs imposed thereunder,” a three-judge panel wrote. (link)
“The Worldwide and Retaliatory Tariff Orders exceed any authority granted to the President by IEEPA to regulate importation by means of tariffs,” the court wrote. The court also ordered that the tariffs that the Trump administration has collected so far be “vacated.”
UPDATE #1: I’m tearing through this ruling right now and I can find several structural flaws in the 3-judge panel decision.
[From Page 6, pdf] “…[…] in 1962, Congress delegated to the President the power to take action to adjust imports when the Secretary of Commerce finds that an “article is being imported into the United States in such quantities or under such circumstances as to threaten to impair the national security.” Trade Expansion Act of 1962, Pub. L. No. 87-794, § 232(b), 76 Stat. 872, 877 (codified as amended at 19 U.S.C. § 1862(c)(1)(A)). This delegation is conditioned upon an investigation and findings by the Secretary of Commerce, and agreement by the President. See id. Section 301 of the Trade Act of 1974, as amended, requires that the U.S. Trade Representative (“USTR”) take action, which may include imposing tariffs, where “the rights of the United States under any trade agreement are being denied” or “an act, policy, or practice of a foreign country” is “unjustifiable and burdens or restricts United States commerce.” 19 U.S.C. § 2411(a)(1)(A)–(B). The USTR may impose duties also where the USTR determines that “an act, policy, or practice of a foreign country is unreasonable or discriminatory and burdens or restricts United States commerce.” Id. § 2411(b)(1). This power is conditioned on extensive procedural requirements including an investigation that culminates in an affirmative finding that another country imposed unfair trade barriers under § 2411(a)(1)(A) or (B) or § 2411(b), and a public notice and comment period. See id. § 2414(b).”…
I’ve just gotten started, but that citation is just one reason why the ruling can be overturned on appeal.
The Sec 301/302 investigation and process noted above was completed by USTR Jamieson Greer, with extensive citation. USTR Greer published a 397-page investigative outcome detailing the “unreasonable and discriminatory” burdens to United States commerce. [SEE HERE pdf]
The New York trade court literally ignored the 2025 USTR investigation, AND the 2025 Dept of Commerce review and investigation of the same based on the USTR published findings. All of those factual investigative findings underpin the Presidential actions taken pursuant to his authority under the International Emergency Economic Powers Act.
It looks like the trade court didn’t even review the USTR reports.
The USTR link to review all of the legal and trade details on the Trump tariffs IS HERE.
Centinel2012 