A U.S. trade court’s ruling against a Trump administration tariff could further constrain the White House’s ability to impose import levies, according to legal and trade experts.
The Court of International Trade (CIT) sided with 24 states and businesses that filed a lawsuit challenging the legality of a 10% global tariff imposed by President Trump in February under Section 122 of the Trade Act of 1974. In a ruling by the three-judge panel, the court found that the temporary tariffs were “unlawful” and harmful to businesses.
The blow to Mr. Trump’s trade policies follows a February Supreme Court ruling that struck down U.S. tariffs imposed last year under the International Emergency Economic Powers Act, or IEEPA.
The U.S. government owes importers an estimated $175 billion in tariff refunds, plus interest, because of the ruling. U.S. Customs and Border Protection has…