Trade court rejects Trump’s 10% import tariffs

A panel of federal judges ruled yesterday that President Trump’s 10% across-the-board tariff, introduced in February, is unlawful.

The Court of International Trade said the tariffs under Section 122 of the Trade Act of 1974 did not fit the type of economic crisis the law was designed to address.

The court said Trump improperly used a decades-old trade law to justify the tariffs introduced in February. 

The tariffs were challenged by two businesses, toy maker Basic Fun! and spice company Burlap & Barrel.

Meanwhile, the tariffs will remain in place for other businesses while the Trump administration appeals the ruling. The duties are set to expire in July.

The decision marks another setback for Trump’s trade agenda after the Supreme Court earlier struck down separate global tariffs.