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US trade court rules against Trump's 10% global tariffs

The panel said the administration lacked legal authority under a 1974 trade law and ordered refunds for the small-business plaintiffs.

  • On Thursday, the U.S. Court of International Trade ruled against President Donald Trump's 10% global tariffs, finding them unjustified under a 1974 trade law.
  • President Trump invoked Section 122 of the Trade Act of 1974 on February 24, citing authority to correct "balance of payments deficits" or avert dollar depreciation.
  • Judges ruled the administration lacked sufficient justification under the law, following the Supreme Court's invalidation of prior tariffs earlier this year.
  • The ruling requires the administration to stop collecting the 10% duties from plaintiffs and issue refunds, with payments expected to start next week.
  • Though the 2-1 vote included a dissenting judge who argued victory was premature, the decision constrains the executive branch's tariff-enacting capacity going forward.
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New setback for the President: A U.S. commercial court has declared Trump's global ten-percent-customs illegal. The basis for this was a 1974 law that was misinterpreted according to the court.

·Hamburg, Germany
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Reuters broke the news in United Kingdom on Thursday, May 7, 2026.
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