Trump: Anti-Tariff Court Ruling Could Lead to ‘Economic Ruination’/ Newslooks/ WASHINGTON/ J. Mansour/ Morning Edition/ President Donald Trump warned that a court ruling blocking his tariff authority could lead to “economic ruination” for the U.S. A federal trade court said Trump overstepped in using emergency powers to impose tariffs. The administration is appealing the decision and calling on the Supreme Court to act quickly.
Tariff Battle Quick Looks
- U.S. Court of International Trade blocks Trump’s emergency tariff powers
- Judges say Trump exceeded legal authority in imposing import taxes
- Trump warns reversal would mean “economic ruination” for U.S.
- Ruling could impact reciprocal tariffs announced in April
- Trump seeks intervention from the Supreme Court
- Appeals court temporarily pauses lower ruling, buys time for Trump team
- Trump-appointed judges joined unanimous panel against tariff use
- Administration must respond by June 9, per appeals court
- Tariffs viewed as Trump’s key trade leverage tool
- Trump says reversal would let foreign powers “hold U.S. hostage”
Deep Look: Trump Warns Economic Collapse if Court Blocks Tariffs
WASHINGTON, D.C. (FOX Business/AP) — President Donald Trump is sounding the alarm after a federal court ruling blocked his administration’s use of emergency powers to impose sweeping tariffs, warning the decision could trigger what he called the “economic ruination” of the United States.
On Sunday, Trump posted on Truth Social, claiming that if courts strike down his tariff strategy, it would embolden foreign nations to exploit America’s economy through aggressive trade practices.
“If the Courts somehow rule against us on Tariffs, which is not expected, that would allow other Countries to hold our Nation hostage with their anti-American Tariffs… This would mean the Economic ruination of the United States of America!” Trump wrote.
Court Blocks Emergency Tariff Powers
The U.S. Court of International Trade (CIT) issued a unanimous decision last Wednesday that invalidated Trump’s use of the International Emergency Economic Powers Act (IEEPA) to levy import taxes. The three-judge panel, comprised of judges appointed by Trump, Barack Obama, and Ronald Reagan, ruled that the former president had overstepped his legal bounds.
In their opinion, the judges emphasized that presidential authority on trade is not limitless, especially in peacetime conditions.
Trump Administration Fights Back in Appeals Court
The Trump legal team quickly appealed the ruling. On Thursday, the U.S. Court of Appeals for the Federal Circuit issued a temporary stay on the lower court decision, giving the Trump administration time to respond.
Under the new timeline:
- Plaintiffs must respond by Thursday
- Trump’s legal team has until June 9 to file their reply
This pause keeps the reciprocal tariff plan alive—for now.
What Are the Tariffs in Question?
Trump’s April 2 tariff plan included a 10% baseline tariff and “reciprocal tariffs” designed to penalize countries with high duties on U.S. goods. These were pitched as a negotiating tool with major trade partners like China, India, and the EU, allowing the U.S. to match foreign tariffs and reassert control in global trade deals.
Trump administration officials said the tariffs were justified under the IEEPA, citing economic threats from unfair trade practices. Critics, however, said the use of emergency powers was legally tenuous and politically motivated.
Trump Urges Supreme Court to Act
Following the trade court’s decision, Trump called the ruling “political” and urged the U.S. Supreme Court to intervene swiftly.
“We’re trying to make fair deals for the American worker, and they’re trying to stop us with partisan court rulings,” Trump said at a campaign stop.
He emphasized that tariffs were a cornerstone of his first-term economic policy and remain a central feature of his 2025 platform.
Broader Impact on U.S. Trade Policy
If the courts ultimately side against Trump:
- Future presidents could lose flexibility to act unilaterally on trade
- Ongoing negotiations with China, Mexico, and the EU may falter
- Existing tariffs may face new legal scrutiny
If the decision is overturned:
- Trump could resume aggressive tariff negotiations
- The U.S. could escalate trade conflicts with key partners
- Legal precedent would expand emergency powers in economic policy
What’s Next?
The case will now continue in the Federal Circuit Court of Appeals, with further escalation to the Supreme Court possible by summer. Until then, the tariff plan remains in limbo, and global markets are watching closely.
While Trump remains defiant, the battle over tariff authority will shape how future administrations engage in economic diplomacy, potentially redefining the balance of power between Congress and the executive branch on trade.
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