The US President was not authorized: a court in the United States collected several of the tariffs imposed by Trump. What does the decision draw now? Questions and answers.
What did the court find?
An appellate court has declared part of the import duties imposed by US President Donald Trump. The judges at the federal court in the capital Washington, among other things, confirmed the illegality of the tariffs with seven to four votes, which had already been determined in the first instance. However, it is all about Trump’s procedure.
How does the court establish its decision?
Trump had referred to an emergency law from 1977, the International Emergency Economic Powers Act (IEEPA). The Court of Appeal has now stated that this law gave the US President “far-reaching powers” in order to react to a “declared national emergency”. However, tariffs are a core competence of the US congress, the judges underlined.
It was “unlikely that the congress had intended to deviate from its previous practice when the IEPEA was adopted and to give the president unlimited customs authorization,” it said in the judgment.
Which tariffs are it about?
The punitive tariffs that Trump had imposed on numerous countries from the beginning of April are affected by the judge’s decision. However, the judgment does not apply to industry-specific tariffs such as the surcharges on aluminum, steel and auto imports.
How did Trump react?
The US President gave himself combative in his online service Truth. He accused the federal judges an “extremely partisan decision”. If these tariffs were abolished, that would be a total catastrophe for the country, Trump wrote. With the help of the Supreme Court, he would save the tariffs. If the decision of the Court of Appeals, the United States would “destroy” this, said Trump.
How does the US government want to proceed now?
The Trump government wants to bring the case in front of the Supreme Court. The confirmed US Justice Minister Pam Bondi in the online service X. Her authority will appeal to “restore the legitimate authority of the president,” explained Bondi. Trump hopes that the Supreme Courts judge’s judge’s rights will decide in his first term.
What could come to Trump?
A judgment on the cancellation of the tariffs would be a hard setback for Trump’s trade policy. With the tariffs, he wants to shrink the commercial balance sheet deficit, create jobs and generate state revenue with tariffs.
Trump had already reached trade agreements with several countries and the EU with the tariffs. Part of the agreement is that these partners open their markets more to US products. Trump also uses the tariffs as a punishment and as a political means of pressure, for example against Brazil or India, whose tariffs he doubled a few days ago.
Did the EU react to the decision?
The EU Commission initially did not want to comment on the judgment. A spokesman said that the Commission would continue to work on the implementation of the agreements with the United States. The EU Commission started the legislative process on Thursday to abolish tariffs to US industrial goods and to reduce barriers for the import of certain foods. In return, US tariffs are to be reduced to auto imports from Germany and other countries.
Does the decision have an impact on Germany?
For most products that are introduced to the USA from Germany and other EU countries, a customs rate of 15 percent has been in place since August 7. This is the result of an agreement between Trump’s government and the EU that has been made after tough negotiations. It is unclear how exactly the judge’s decision could affect it.
What’s next?
The tariffs continue to apply, the judges left them into force until mid -October to enable an appeal to the Supreme Court. There are currently a few more lawsuits against the tariffs, such as from US states or companies.
With material from AFP and dpa.
