US court junks Trump tariffs as illegal, but he won't relent just yet

 The US appeals court ruling on Trump tariffs will not take effect until October 14 to give the administration time to take the battle to the Supreme Court.

विदेशी छात्रों को चिंतित कर सकता है ट्रंप प्रशासन का फैसला

US President Donald Trump. (AP Photo)

India Today World Desk

New Delhi,UPDATED: Aug 30, 2025 11:52 IST

A US appeals court ruled that most tariffs imposed by President Donald Trump were "illegal", but put its ruling on hold for now, giving the administration time to take up the case with the Supreme Court. The ruling infuriated Trump, who called the decision "incorrect" and asserted that the tariffs remain in place.

"ALL TARIFFS ARE STILL IN EFFECT! Today a Highly Partisan Appeals Court incorrectly said that our Tariffs should be removed, but they know the United States of America will win in the end," Trump wrote on Truth Social.

The ruling, which struck at the heart of one of Trump’s signature economic policies, prompted the president to issue a lengthy defence of tariffs, describing them as essential for US workers and industries.

“If these Tariffs ever went away, it would be a total disaster for the Country,” Trump said. “It would make us financially weak, and we have to be strong.”

He argued that tariffs remain the best way to counter trade deficits and foreign trade barriers. “The USA will no longer tolerate enormous Trade Deficits and unfair Tariffs and Non Tariff Trade Barriers imposed by other Countries, friend or foe, that undermine our Manufacturers, Farmers, and everyone else,” he said.

The president also warned of dire consequences if the court’s ruling were upheld. “If allowed to stand, this Decision would literally destroy the United States of America,” he claimed.

Trump, linking his comments to the Labor Day weekend, stated, “At the start of this Labor Day weekend, we should all remember that TARIFFS are the best tool to help our Workers, and support Companies that produce great MADE IN AMERICA products.”

He vowed to fight the decision, saying the case would ultimately be decided at the Supreme Court. “Now, with the help of the United States Supreme Court, we will use them to the benefit of our Nation, and Make America Rich, Strong, and Powerful Again!”
WHAT US APPEALS COURT SAID ON TRUMP TARIFFS

A US appeals court ruled on Friday that most of Trump’s tariffs are illegal, delivering a major blow to one of the president’s signature economic tools. The US Court of Appeals for the Federal Circuit in Washington, DC, found that Trump had overstepped his authority by imposing the levies, which he has used as leverage in trade negotiations and to pressure foreign governments.

The court concluded that while the president has broad powers during a declared national emergency, those powers do not explicitly include imposing tariffs or similar taxes.

The ruling specifically targeted the “reciprocal” tariffs Trump introduced in April as part of his ongoing trade war, along with a separate set of levies placed in February on China, Canada and Mexico. Tariffs imposed under other legal authorities, including those on steel and aluminium imports, were not affected by the decision.
INDIA'S TARIFFS HERE TO STAY

Although the US Court of Appeals has cast doubt on President Trump’s use of the emergency law (IEEPA) to impose reciprocal tariffs, trade experts point out that India’s duties are unlikely to be rolled back. That is because, after the first set of levies in April, Trump quietly invoked other legal authorities in subsequent tariff rounds on India, anticipating that the IEEPA-based measures could face judicial scrutiny. In effect, New Delhi was hit under a blended legal framework, not solely the emergency powers now under challenge.

This legal layering means India’s tariffs stand on firmer ground than those affecting other countries targeted only through IEEPA. Even if the courts strike down the reciprocal tariffs, the later duties on India imposed under alternate laws would remain intact. Trump’s move was a pre-emptive safeguard to ensure that his tough stance on India — especially over Russian oil imports and trade imbalances — could withstand a courtroom battle.

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