US appeals court rejects Trump's sweeping tariffs imposed under emergency powers

By Yasin Gungor

ISTANBUL (AA) - The US Court of Appeals for the Federal Circuit ruled Friday against President Donald Trump's use of emergency powers to impose sweeping tariffs.

It affirmed a lower court ruling that found the executive orders exceeded presidential authority.

The appeals court upheld a decision from the Court of International Trade that invalidated five executive orders establishing indefinite tariffs on virtually all imports from almost every nation.

Multiple states, including Oregon, Arizona, Colorado and New York challenged the tariffs alongside companies.

The appeals court determined that the International Emergency Economic Powers Act (IEEPA) does not grant presidential authority to impose the broad tariffs contained in Trump's executive orders. The court said that IEEPA's grant of power to "regulate" imports does not authorize the tariffs imposed.

IEEPA, enacted in 1977, grants broad powers to presidents during declared national emergencies involving foreign threats. The law has historically been used for sanctions, embargoes and asset freezes, but never before for tariff imposition.

The Trump administration invoked IEEPA by declaring national emergencies related to trade deficits and illegal activities like drug trafficking.

During oral arguments in July, government lawyers defended the tariffs as being within presidential emergency powers, while opponents characterized the penalties as constitutional overreach that bypassed Congress' exclusive trade and taxation authority.