The US Federal Court of International Trade unanimously ruled that President Donald Trump exceeded his authority by imposing tariffs on dozens of countries under the guise of a national emergency. The court found that the International Emergency Economic Powers Act (IEEPA) does not grant the president “unlimited power” to impose tariff restrictions.
This is reported by Business • Media
Consequences of the Court’s Decision and Reactions
According to the ruling, tariffs of 25% on goods from Canada and Mexico, 20% on imports from China, and a general 10% tariff for all US trading partners aimed at reducing the trade deficit were annulled. Additionally, “reciprocal tariffs” of 20-50% for 60 countries, which were set to take effect in July, were also canceled.
“Today’s decision is a victory not only for Oregon but also for American families and small businesses. Trump’s tariffs were illegal, reckless, and economically destructive,” said Oregon Attorney General Dan Rayfield.
Following the ruling, the US Department of Justice filed an appeal, and the case is likely to be reviewed by the Supreme Court. Among the potential legal and political consequences are demands for the return of already collected tariff revenues, as well as restrictions on the ability to reimpose similar tariffs based on other legislative norms. Experts emphasize that such actions by the president will no longer have such a broad legal basis.
Impact on the Economy, Markets, and the Cryptocurrency Sector
The court ruling represents yet another limitation on Donald Trump’s economic policy, following similar judicial blocks on his immigration initiatives and attempts to restructure government agencies. Throughout April 2025, Trump initiated a significant increase in tariffs, later softened the policy for most countries, and then announced the possibility of reducing tariffs for China. At the same time, official negotiations began between the US and China, and on May 12, both countries signed an agreement to reduce mutual tariffs for 90 days.
Economists note that Trump’s tariff policy affected not only macroeconomic indicators but also the dynamics of the cryptocurrency market. Specifically, during the suspension of tariffs, there was an increase in the price of Bitcoin, which is currently trading at $107,794. However, news of new tariffs for EU countries led to a decline in prices for crypto assets.
Meanwhile, leading cryptocurrency experts, including BitMEX co-founder Arthur Hayes and Bitwise CIO Matt Hougan, noted the potential of Trump’s tariff strategy for the long-term development of Bitcoin as a reserve currency.
Legal experts emphasize that while the US president retains significant powers to impose tariffs, their scope has been significantly narrowed following this court decision.
“The president still has considerable authority to impose tariffs, but not as broad as he thought,” commented law professor Ilya Somin.