The US Supreme Court has ruled that a large portion of tariffs imposed by President Donald Trump on imports are illegal, finding he exceeded his authority under federal law.
Trump had relied on the International Emergency Economic Powers Act (IEEPA) to introduce the sweeping tariffs, arguing they were necessary to address economic threats. However, the court found the law does not grant the president the power to impose such broad trade measures.
The ruling specifically targets tariffs introduced during what Trump called "Liberation Day" in early April last year, when duties were imposed on imports from most countries worldwide.
The decision puts those tariffs in jeopardy and could significantly affect US trade policy.
The tariffs had been a central part of Trump's economic strategy, aimed at protecting American industries and reducing trade deficits.
It remains unclear how quickly the measures will be rolled back or what steps the administration may take in response to the ruling.
EU takes notes
The European Commission responded to the ruling shortly after it was announced.
"We take note of the ruling by the US Supreme Court and are analysing it carefully," spokesperson Olaf Gill said in a statement to journalists.
"We remain in close contact with the US Administration as we seek clarity on the steps they intend to take in response to this ruling.
Businesses on both sides of the Atlantic depend on stability and predictability in the trading relationship. We therefore continue to advocate for low tariffs and to work towards reducing them."
This article is developing.
