Washington, D.C., August 2025 – In a major legal development, a U.S. federal appeals court has ruled that most of former President Donald Trump’s global tariffs were unlawful, dealing a significant blow to one of his most aggressive trade policies. The decision marks a pivotal moment in the debate over presidential powers in international trade.


U.S. Court Rules Trump’s Global Tariffs Illegal
U.S. Court Rules Trump’s Global Tariffs Illegal


Court Ruling: Trump Exceeded His Authority

The court found that Trump exceeded his authority under the International Emergency Economic Powers Act (IEEPA). The IEEPA allows presidents to regulate certain economic activities in national emergencies, but the judges concluded it does not explicitly grant authority to impose tariffs, which has historically been the role of Congress.

The panel stressed that Trump’s tariffs were:


Broad in scope – targeting multiple countries and sectors.


Without clear time limits – effectively making them indefinite.


This lack of boundaries, the court ruled, made the tariffs unlawful.


Tariffs Remain in Effect — For Now

Although the ruling is a major setback for Trump, the court stayed enforcement until October 14, 2025. This gives the Trump administration time to appeal to the U.S. Supreme Court, where the case could set a precedent on the limits of executive authority in trade policy.

Until then, the tariffs remain in force.

Trump reacted strongly, calling the ruling a “total disaster for the country”, and reaffirmed his commitment to keeping the tariffs in place.


India Hit Hard by Trump’s Tariff Push

Among the most significant recent moves was Trump’s decision to impose a 50% tariff on goods from India, particularly targeting:


India’s oil imports from Russia


Military-related imports


This has put severe pressure on the Indian economy. In response, the Indian government announced:


Tax relief measures for industries most affected

A renewed push for domestic self-reliance in energy and defense

The steep tariffs have created both diplomatic and economic strain, highlighting the global ripple effects of Trump’s trade actions.


Broader Context: Trump’s Executive Actions

While tariffs are at the center of this ruling, Trump has also used unconventional executive mechanisms in other areas, including:


Removing federal protections for certain political rivals

Canceling foreign aid packages unilaterally


These moves remain controversial but are separate from the tariff dispute.


What Happens Next?


If the Supreme Court upholds the appeals court ruling, most of Trump’s global tariffs would be dismantled.

If the court rules in Trump’s favor, it could expand presidential authority under emergency powers, reshaping U.S. trade law.

For now, global businesses and U.S. trading partners remain in uncertainty as the legal battle continues.


FAQ's

Q1: What did the court rule about Trump’s tariffs?
The appeals court ruled that Trump’s tariffs exceeded his authority under IEEPA because the law does not grant presidents explicit tariff powers.

Q2: Are the tariffs still in effect?
Yes. The ruling is stayed until October 14, 2025, allowing Trump’s administration to appeal to the Supreme Court.

Q3: Which country was most recently targeted by Trump’s tariffs?
India was hit with a 50% tariff, especially on oil and military imports linked to Russia.

Q4: How has India responded to the tariffs?
India has rolled out tax relief measures and emphasized domestic self-reliance in critical sectors.

Q5: What happens if the Supreme Court overturns the ruling?
If overturned, Trump’s tariffs remain legal and in force. If upheld, most of them will be struck down.