A federal court in the United States has blocked the entry into force of the reciprocal tariffs imposed on April 2 by US President Donald Trump, announced on the so-called “Liberation Day“, the agencies reported.
The court ruled that the president exceeded his authority by imposing tariffs on imports from countries that export more goods to the United States than they import. The ruling, however, does not affect Trump's 25 percent tariffs on imported cars, steel and aluminum.
Deputy White House Chief of Staff and one of Trump's top policy advisers, Stephen Miller, criticized the court's decision on social media: "The judicial coup is completely out of control."
An extraordinary defeat for Trump
The Manhattan-based Court of International Trade pointed out in its decision that the US Constitution gives Congress exclusive powers to regulate trade with other countries that cannot be seized within the framework of the president's extraordinary powers to protect the American economy.
„The court does not assess the appropriateness or likely effectiveness of the president's use of tariffs as a means of influence. Such use is in itself impermissible, not because it is unreasonable or ineffective, but because (federal law) does not allow it“, the three-judge court ruled.
The decision comes after two lawsuits, one filed by the Center for Freedom and Justice on behalf of five small American companies that import goods from countries affected by the new tariffs, and the other by 13 American states.
Trump appeals
Today's ruling is a significant defeat for Donald Trump, who has already appealed it to the Court of Appeals for the Federal Circuit of Washington, reported Agence France-Presse. “Notice is hereby given that the defendants appeal to the United States Court of Appeals“, the court document said.
After the decision, the US dollar appreciated against the Swiss franc and the Japanese yen. US stock futures rose on the stock exchanges. The stock markets are jubilant, German public broadcaster ARD reports.