In a 2-1 decision, the Court of International Trade determined the president’s global tariff—announced in February after the Supreme Court rejected his “Liberation Day” tariffs—is unlawful due to his misrepresenting Section 122 of the Trade Act. Trump tried to claim that the phrase “balance-of-payments deficits” in the law is the same as a “trade deficit.” It is not, the court ruled.
It is unclear what the next steps are, although the tariffs were set to expire near the end of July.
“Treating Black civil-rights history, Jewish testimony about the Holocaust, the oft-forgotten Asian American experience, the shameful treatment of the children of Native tribes, or the mere mention of a woman as a marker of lack of merit or wastefulness is not lawful,” U.S. District Judge Colleen McMahon wrote. The decision is a win for nonprofit organizations that had been under threat of or had already lost funding due to the DOGE cuts.
Trump has yet to comment on his legal defeats.
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