U.S. Trade Court Blocks Trump’s Tariffs: A Landmark Victory for Small Businesses

On May 29th, the U.S. International Trade Court ruled against the implementation of President Trump’s proposed “Liberation Day” tariffs. This decision, which blocks the tariffs aimed at addressing the trade deficit, underscores the court’s interpretation of the U.S. Constitution, asserting that Congress exclusively holds the authority to regulate international trade. The court clarified that the use of international emergency powers by the president cannot supersede this legislative control.

This pivotal lawsuit was initiated by the non-partisan Liberty Justice Center, representing five small U.S. businesses adversely affected by the tariffs. These entities expressed that such tariffs would severely disrupt their business operations. Notably, this case marks the first significant legal challenge against Trump’s tariff imposition amidst widespread criticism. In total, there are currently seven legal actions contesting these tariffs, including efforts from 13 states and various small business coalitions, highlighting growing resistance within the economic landscape.