Federal Judges Block Sweeping Import Duties in Blow to White House Trade Agenda

A three-judge panel at the Court of International Trade just iced President Trump’s 10 percent “Liberation Day” tariffs, ruling that the 1977 emergency powers law he cited doesn’t let a president slap duties on nearly every trading partner. The judges gave Customs officials ten days to start unwinding the levies, but the White House is already asking for a stay and vowing an appeal, arguing that unelected benches shouldn’t tie the executive’s hands in an economic emergency.

The decision stems from two lawsuits: one from small importers backed by the Liberty Justice Center and another from a dozen states claiming the duties were an unconstitutional tax hike. Business groups cheered, markets popped, and New York’s attorney general called the ruling a win for checks and balances. Still, analysts note Trump could pivot fast—he’s allowed tariffs up to 15 percent for 150 days under a separate trade-balance clause, or revive the steel-and-aluminum playbook that survived court tests in his first term.

For now, shippers must keep paying while border agents wait on appellate instructions. If the government ultimately loses, Customs will refund billions already collected, and global negotiators may smell blood in the water, slowing talks until the legal dust settles. Companies that banked on a 90-day tariff pause to ink quick deals now face fresh uncertainty—proof that in this trade saga, every chapter ends with a comma, not a period.