US Court Rules Trump's 10% Tariff Illegal

Washington DC. A federal court has declared illegal the 10 percent additional customs duty (tariff) on all goods entering the US, which US President Donald Trump sought to implement. A panel of judges at the US International Trade Court, through a 2-1 majority decision, stated that the Trump administration could not present sufficient legal basis to implement the said duty.

The court concluded that although the duty was implemented using "Section 122" of the Trade Act of 1974, the necessary criteria for it were not met. That law gives the president the authority to impose customs duties up to a maximum of 15 percent without the approval of Congress under special circumstances.

Following this decision, the court has ordered to stop the collection of duties collected from the plaintiffs in the related case and to refund the amount previously collected. Although the decision will not be immediately applicable to all importers, it is considered a major blow to the Trump administration's economic policies.

Previously, following a decision by the US Supreme Court, Trump administration's extensive customs policies had faced legal disputes. The new decision signals that further debate will begin regarding the president's authority to unilaterally implement trade duties in the future.