Court to Weigh Trump's Tariff Authority in Landmark Case
A U.S. appeals court reviews President Trump's authority to impose tariffs. Challenged by Democratic states and businesses, the case questions the use of emergency powers to justify tariffs on trade partners like China, Canada, and Mexico. The court's decision could significantly impact Trump's trade policy.
A pivotal legal hearing is set to scrutinize President Donald Trump's authority to impose broad tariffs, a move that could recalibrate U.S. trade policy. The U.S. Court of Appeals for the Federal Circuit in Washington, D.C., will assess the legality of "reciprocal" tariffs levied on diverse trading partners.
This judicial review emerges from challenges by small businesses and Democratic states questioning the use of emergency powers, traditionally reserved for sanctions, under the International Emergency Economic Powers Act of 1977. The legality of tariffs on China, Canada, and Mexico is under particular scrutiny, as plaintiffs argue such measures fall outside presidential authority.
Despite a lower court siding with challengers and asserting that Trump's tariff actions exceed constitutional boundaries, tariffs remain until the appeal's resolution. The outcome of this case, expected to journey to the U.S. Supreme Court, could have sweeping implications for international trade dynamics and ongoing negotiations.
(With inputs from agencies.)
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